Question

Josephines T-Shirts faced a lot of complaints from customers when its recent batch of long-sleeved shirts was dispatched. The employees at Josephines T-Shirts, hence, had to rework on the returned items, and in some cases, the company had to even replace the faulty goods. In this case, the costs incurred by Josephines T-Shirts are an example of _____ costs.

a. prevention

b. appraisal

c. internal failure

d. external failure

Answer

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