Which of the following best describes the cost of quality?

The cost of quality refers to the total costs associated with ensuring that products or services are of good quality, as well as the costs incurred due to failures in quality. This encompasses three main categories: prevention costs, appraisal costs, and failure costs.

Prevention costs are associated with activities aimed at preventing defects or issues from occurring in the first place. Examples include training, process control, and quality improvement initiatives. Appraisal costs are related to the inspection and testing of products or services to ensure they meet quality standards. This includes costs incurred during measurement, evaluation, and auditing.

Failure costs can be divided into two types: internal and external. Internal failure costs arise from defects found before delivery to the customer, such as rework, scrap, or downtime caused by defects. External failure costs occur when defects are found after delivery, including warranty claims or product recalls.

By considering all these categories together, it becomes clear that the cost of quality is best described as the sum of prevention, appraisal, and failure costs. This holistic view highlights the importance of investing in prevention and appraisal to reduce overall costs associated with failures, ultimately leading to improved quality and customer satisfaction.

The other options represent a narrow perspective on quality costs, focusing on only one component rather than capturing