The Door Company Manufactures Doors

Multiple Choice

The Door Company manufactures doors.Classify each of the following quality costs as prevention costs, appraisal costs, internal failure costs, or external failure costs.
A) Appraisal
B) Internal failure
C) Prevention
D) External failure
-Data collection problems arise when

A) data are recorded electronically rather than manually.
B) accrual-basis costs are used rather than cash-basis costs.
C) outliers are removed.
D) purely inflationary price effects are removed.
E) fixed and variable costs are not separately identified and both are allocated to products on a per unit basis.