Question 1
BeginnerQuality Concepts and Tools · Cost of Quality (COQ)
A manufacturing facility recently invested in a high-speed, automated laser inspection system to measure the dimensional accuracy of stamped metal parts before they are shipped to customers. The goal is to prevent nonconforming parts from leaving the facility. In the context of the Cost of Quality (COQ), how should the depreciation, maintenance, and operating costs of this automated laser inspection system be classified?
Answer and explanation
Correct answer: B
Appraisal costs are expenses incurred to determine the degree of conformance to quality requirements. Since the laser inspection system is actively measuring and evaluating the stamped parts to ensure they meet specifications before shipment, its associated costs fall under appraisal. Prevention costs are incurred to keep defects from happening in the first place (e.g., training, quality planning). Internal failure costs occur when defects are found before reaching the customer (e.g., scrap, rework), and external failure costs occur after the customer receives a defective product.
