Question

Costs associated with reducing the potential for defective parts or service are:

a) Prevention costs.
b) Appraisal costs.
c) Internal failure costs.
d) External failure costs.
e) None of these; they are all major categories of costs associated with quality.

Answer 1

Prevention costs are associated with measures taken to avoid defects in products or services before they occur, which saves money and resources in the long run by preventing higher post-production costs.

Step-by-step explanation:

Costs associated with reducing the potential for defective parts or service are known as prevention costs. These costs involve measures taken by a company to prevent defects in its products or services before they occur. Prevention costs may include training, quality equipment, and process improvement initiatives. Investing in prevention is thought to save money in the long run by avoiding the higher costs associated with fixing defects after they have occurred, such as appraisal costs, internal failure costs, and external failure costs.

Emphasizing durable goods, craftsmanship, and high-quality community resources aligns with reducing environmental impacts and leveraging better value over time.