Answer:
B. marginal voluntary expenditures equal the marginal savings on failure costs.
Step-by-step explanation:
In Accounting, Costing is the measurement of the cost of production of goods and services by assessing the fixed costs and variable costs associated with each step of production.
The various type of costs involved in the manufacturing or business processes are;
1. Product cost is the expenses incurred when a product is sold.
2. Period cost refers to the period in which costs are incurred.
3. Fixed cost refers to costs that remains constant over variations in production activity, irrespective of amount of goods.
3. Variable cost refers to cost which are the same per unit of production but vary directly with level of output.
4. Direct costs refer to the costs that are peculiar to a particular department or area while indirect cost can't be traced to any.
5. Manufacturing overhead are all indirect cost required in producing a good that isn't associated with direct materials or direct labor.
A total quality cost include the overall cost of producing products with poor qualities. The minimum amount of total quality costs is achieved when the marginal voluntary expenditures equal the marginal savings on failure costs.