A company engages in a number of activities as part of its quality control system: a. Which type of costs are incurred in an effort to keep poor quality of conformance from occurring? O External failure costs O Prevention costs and appraisal costs O Internal failure costs b. Which type of costs are incurred because poor quality of conformance has occurred? O Appraisal costs O Internal and external fallure costs O Prevention costs

A company engages in a number of activities as part of its quality control system: a. Which type of costs are incurred in an effort to keep poor quality of conformance from occurring? O External failure costs O Prevention costs and appraisal costs O Internal failure costs b. Which type of costs are incurred because poor quality of conformance has occurred? O Appraisal costs O Internal and external fallure costs O Prevention costs

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

“When evaluating alternative ways to improve quality, managers need to consider the fully allocated costs of quality.” Do you agree? Explain.
Production department is key area of any company so what Goals a company should adapt forEthical and Environmentally Friendly Designs?
In your opinion, where should companies spend most of their quality funds: on prevention, inspection, internal failure or external failure costs? Explain your logic in making this selection.
1.A determination of cost savings obtained by outsourcing cafeteria services is most likely to be an objective of...a.) Environmental auditingb.) Financial auditingc.) Compliance auditingd.) Operational auditing 2.
Give two examples of nonnancial measures of internal-business-process quality.
By comparing the actual findings with the standards and adopting new standards to avoid or reduce deviations, standard cost variance analysis makes it simple for management to evaluate performance against the benchmark. Focusing on the efficiency of the standard cost system and applying any modifications and updates promptly can help to minimize these effects and produce more accurate results when compared to actual data. Do you believe that the standard cost system can help erase these effects completely?
Give two examples of nonnancial measures of customer satisfaction relating to quality.
Classify the following quality costs as prevention costs, appraisal costs, internal failure costs, orexternal failure costs:1. Inspection of reworked units2. Inspecting and testing a newly developed product (not yet being sold)3. Retesting a reworked product4. Repairing a computer still under warranty5. Discount allowed to customers because products failed to meet customer specifications6. Goods returned because they failed to meet specifications7. The cost of evaluating and certifying suppliers8. Stopping work to correct process malfunction (discovered using statistical process controlprocedures)9. Testing products in the field10. Discarding products that cannot be reworked11. Lost sales because of recalled products12. Inspection of incoming materials13. Redesigning a product to eliminate the need to use an outside component with a highdefect rate14. Purchase order changes 15. Replacing a defective product16. Inspecting and testing prototypes17. Repairing products in the field18.…
Which of the following statements are true? (Check all that apply.) Multiple select question. Measuring and reporting quality costs does not solve quality problems. As managers become more experienced in balancing prevention and appraisal activities, the need for quality cost reports often increases. Lost sales arising from customer ill will are generally not found on quality control reports. Decreases in quality costs generally occur as soon as improvement programs are implemented.
Environmental accounting helps to reduce the negative impact on environment as well as to reduce costs.Please explain briefly with example
A controllable cost is any cost that can be A. segregated B. influenced C. controlled D. excluded by a responsibility center manager for a period of time.
The risk of damages in the life of a machine component can be eliminated by using collective protective measures over individual measures. Select one: True False