Test 1 Review

A quality cost associated with performing activities designed to prevent poor quality in products or services. Getting it right the first time! (Chapter 6)

• Prevention Cost

• Appraisal Cost

• Failure Cost

• Intangible Cost

Answer explanation

Prevention Cost is the quality cost associated with activities designed to prevent poor quality in products or services, emphasizing getting it right the first time.

A document that creates a general understanding of what is needed for a project and provides clear information concerning the goals and objectives that a particular project hopes to achieve. (Chapter 8)

• Project Proposal

• Project Plan

• Project Schedule

• Project Budget

Answer explanation

A Project Proposal is a document that outlines the goals and objectives of a project, creating a general understanding of what is needed for its successful completion.

A part of a project plan that provides a tentative operating timetable with key project dates and milestones. (Chapter 8)

• Project Proposal

• Project Plan

• Project Schedule

• Project Budget

Answer explanation

The correct choice is Project Schedule as it provides a tentative operating timetable with key project dates and milestones.

A company's _______ statement describes where leadership sees the organization in the future; it’s strategic direction for the foreseeable future. (Chapters 2 & 3)

• Vision

• Proposal

• Business

• Project

Answer explanation

The correct choice is 'Vision' as the company's vision statement outlines its future direction and goals.

A hidden quality cost associated with providing a nonconforming product or service to a customer. It involves the company’s image. (Chapter 6)

• Prevention Cost

• Appraisal Cost

• Failure Cost

• Intangible Cost

Answer explanation

The hidden quality cost associated with providing a nonconforming product or service to a customer that involves the company's image is referred to as an Intangible Cost.

A company's _______ statement is more specific and details how the organization will reach its objectives; it’s the translation of its vision into strategic actions. (Chapters 2 & 3)

• Mission

• Project

• Business

• Visionary

Answer explanation

A company's mission statement is more specific and details how the organization will reach its objectives; it’s the translation of its vision into strategic actions.

A quality cost associated with measuring, evaluating, or auditing products or services to ensure they conform to specifications or requirements before releasing them to the consumer. (Chapter 6)

• Prevention Cost

• Appraisal Cost

• Failure Cost

• Intangible Cost

Answer explanation

An Appraisal Cost is incurred when measuring, evaluating, or auditing products or services to ensure they conform to specifications before releasing them to the consumer.

A problem-solving method, typically conducted with a group of subject matter experts, that helps to identify the causes and effects of a problem. (Chapter 7 or 9)

• Ishikawa / Fishbone

• Root Cause Analysis

• Cause and Effect Diagrams

• All the Above

Answer explanation

The problem-solving method described in the question is known as Ishikawa or Fishbone, Root Cause Analysis, and Cause and Effect Diagrams, making 'All the Above' the correct choice.

A part of a project plan that contains the plan for allocating and monitoring the use of scarce resources. (Chapter 8)

• Project Proposal

• Project Plan

• Project Schedule

• Project Budget

Answer explanation

The correct choice is Project Budget because it involves allocating and monitoring the use of scarce resources in a project plan.

A quality cost is associated when the completed product or service does not meet customer requirements or when the customer receives a defective product. This includes internal and external types of costs. (Chapter 6)

• Prevention Cost

• Appraisal Cost

• Failure Cost

• Intangible Cost

Answer explanation

Failure Cost is associated with completed products or services that do not meet customer requirements or are defective, resulting in internal and external costs.