MCQ IN COMPUTER SCIENCE & ENGINEERING

Detailed explanation-1: -External failure cost is those prices which are occurred as a result of product failure after they are marketed to costumers. Examples of these expenses are, product recalls, product return cost, loss of a customer due to poor quality or dissatisfied customer, legal fees relating to customer lawsuit.

Detailed explanation-2: -External failure costs when the defect is discovered after it has reached the customer. This is the most expensive category of quality costs. Examples include product returns, repairs, warranty claims, lost reputation, and lost business.

Detailed explanation-3: -Examples of internal failure costs are failure analysis activities, product rework costs, product scrapped (net of scrap sales), and throughput lost. Internal failure costs are one of the four costs of quality. The other three costs are preventive costs, appraisal costs, and external failure costs.

Detailed explanation-4: -External failure costs are one component of the cost of quality, and are incurred if a defective product reaches the customer and fails during use. The most common components of this cost are warranty work and returns. However, lawsuits from customers may also be a component.