The Cost of Quality (COQ) includes both internal and external failure costs.
False
True
The correct answer is True. The Cost of Quality (COQ) is indeed composed of both internal and external failure costs, along with prevention and appraisal costs.
COQ consists of four main categories:
Both internal and external failure costs are essential components of the COQ framework. Internal failure costs represent quality issues caught before delivery, while external failure costs reflect problems discovered by customers. By including both, the COQ provides a comprehensive view of quality-related expenses throughout the product or service lifecycle.
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