The cost of using a statistical quality control system is properly characterized in a Cost of Quality (COQ) report as a(n):
A) External failure cost.
B) Internal failure cost.
C) Training cost.
D) Opportunity cost.
E) Appraisal cost.

Question

Quizplus · Accepted Answer

The cost of using a statistical quality control system is an example of an appraisal cost, which is a cost incurred to ensure that a product or service meets the quality standards set by the organization. This cost is incurred to measure, evaluate, or audit the product's conformance to quality standards. Therefore, the best choice is E.

The Cost of Using a Statistical Quality Control System Is