In Classifying the Costs of Quality at a Company That

Multiple Choice

In classifying the costs of quality at a company that manufactures sonar equipment,which of the following is considered an external failure cost?

A) the net cost of scrap and spoilage incurred during production.
B) the cost of repairs and replacements made during the warranty period.
C) the cost of debugging software errors found in the sonar equipment during inspection at the plant.
D) both B and C above.
E) none of the above.