Question

In a Cost of Quality (COQ) framework, rework costs incurred before shipment of product are considered:

A. Internal failure costs.
B. Retention costs.
C. Appraisal costs.
D. Prevention

Answer 1

Rework costs before shipment in a COQ framework are categorized as Internal failure costs, which are meant to be minimized for better quality management.

Step-by-step explanation:

In the Cost of Quality (COQ) framework, rework costs incurred before the shipment of a product are considered Internal failure costs. These costs represent the expenses associated with defects that are found before the product reaches the customer, such as the costs of inspecting and fixing those defects.

It is important to note that Internal failure costs are a part of the COQ that businesses aim to minimize through various quality management practices to improve processes and reduce waste.