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Management · Q263

Operations Research or Qualitative Approach

Graduate and Post Graduate · Management · question 263

Q263

Statement I Internal failure costs are generated after the product is dispatched as a result of non-performance to requirements. Statement II External failure costs are generated before the product is dispatched as a result of non-conformance to requirements. Which of the following answer is correct related to above statements being correct or incorrect?

A.
Both statements are correct
B.
Both statements are not correct
Answer
C.
Statement I is correct, but Statement II is not correct
D.
Statement II is correct, but Statement I is not correct

Answer: Option B

Solution

Answer: Option B
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