Which term listed below describes costs incurred for rework when the company detects poor quality goods before delivery to the customer?
A)Lean production
B)Value added activity
C)Internal failure costs
D)External failure costs

Question

Quizplus · Accepted Answer

Internal failure costs are costs incurred due to defective products that are detected before they are delivered to the customer. These costs include rework, scrap, and inspection costs.

Which Term Listed Below Describes Costs Incurred for Rework When