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Topic: [HELP]Appraisal Cost vs. Internal Failure (

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jl0329
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Joined: 15 Feb 2011
Location: United States
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Posts: 186

Posted: 13 Dec 2011 at 09:10 \| IP Logged

Guys, I am having trouble distinguish between Appraisal
Cost and Internal Failure.

In the becker's book, their definitions seem very similar
to me.They are both defined as the cost to discover/cure a
defect product before it's shipped. Appraisal is a
conformance cost and internal failure is a non-conformance
cost.

What are the differences between these two?

JD7612
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Joined: 11 Sep 2010
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Posts: 122

Posted: 13 Dec 2011 at 14:50 \| IP Logged

Appraisal Cost = the cost of quality control including testing and inspection. it involves any activity designed to appraise, test, or check defective products. key words: testing & inspection

Internal Failure Cost = the cost incurred when substandard products are produced but discovered before shipment to customers. this relates to re-working defective parts detected before shipment to customers. key word: re-working

I hope this helps!

jl0329
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Joined: 15 Feb 2011
Location: United States
Online Status: Offline
Posts: 186

Posted: 13 Dec 2011 at 16:01 \| IP Logged

JD7612, your explanation makes perfect sense!! The
definition on Becker is sort of confusing.

Thanks a lot :) ！！！

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