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Ply Corp manufactures doors. For the following costs incurred by Ply, identify which cost category is most associated with the condition described in the letter
Ply Corp manufactures doors. For the following costs incurred by Ply, identify which cost category is most associated with the condition described in the letter items. Classify each of the following quality costs as prevention costs, appraisal costs, internal failure costs, or external failure costs.
a. Prevention costs
b. Appraisal costs
c. Internal failure costs
d. External failure costs
- _____ Retesting of reworked products
- _____ Downtime due to quality problems
- _____ Warranty repairs
- _____ Lost sales arising from a reputation for poor quality
- _____ Quality circles
- _____ Rework direct manufacturing labor and overhead
- ______ Tech support provided to suppliers
- ______ Audits of the effectiveness of the quality system
- _____ Plant utilities in the inspection area
- _____ Reentering data because of keypunch errors
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