Cost incur for defective products, after their shipment to customers is classified as
A. prevention costs
B. external failure costs
C. appraisal costs
D. internal failure costs
Answer: Option B
Solution(By Examveda Team)
Cost incur for defective products, after their shipment to customers is classified as external failure costs. External failure costs are those costs incurred due to product failures after they have been sold to customers.Related Questions on Management Accounting
A. resourcing
B. value acquiring
C. production
D. value acquaintance
Examining of past performance, exploring alternative and planning future is
A. learning
B. alternating
C. examining
D. deciding
Time that a company takes to create and produce a new product is classified as
A. management factor
B. time factor
C. customer factor
D. chain factor
Purpose of management accounting is to
A. past orientation
B. help banks make decisions
C. help managers make decisions
D. help investors make decision
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