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CIMAPRO19-P02-1 Exam - Topic 3 Question 85 Discussion

Three years ago the large number of faulty products being returned by its customers resulted in a company adopting total quality management (TQM). The company has increased expenditure on staff training and product inspections. This has resulted in a reduction in the number of faulty products returned.Which of the following statements is correct?
A) Spending more on conformance costs has resulted in a reduction in internal failure costs.
B) Spending more on conformance costs has resulted in a reduction in external failure costs.
C) Spending more on non-conformance costs has resulted in a reduction in conformance costs.
D) Spending more on prevention costs has resulted in a reduction in appraisal costs.

CIMAPRO19-P02-1 Exam - Topic 3 Question 85 Discussion

Actual exam question for CIMA's CIMAPRO19-P02-1 exam
Question #: 85
Topic #: 3
[All CIMAPRO19-P02-1 Questions]

Three years ago the large number of faulty products being returned by its customers resulted in a company adopting total quality management (TQM). The company has increased expenditure on staff training and product inspections. This has resulted in a reduction in the number of faulty products returned.

Which of the following statements is correct?

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Suggested Answer: A

by Hollis at Apr 21, 2024, 03:59 PM

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Bernadine
8 months ago
C seems wrong to me. Non-conformance costs shouldn't reduce conformance costs.
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Nieves
8 months ago
Totally agree with A! Investing in quality pays off in the long run.
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Alpha
8 months ago
Wait, how can spending more on prevention reduce appraisal costs? Sounds off.
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Eleni
8 months ago
I think B makes more sense, though. External failures are what hurt the brand.
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Gary
9 months ago
A is definitely correct! More spending on conformance means fewer returns.
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Minna
9 months ago
I thought D seemed plausible, but I’m not sure if spending more on prevention would actually reduce appraisal costs. It feels like it could be a trick option.
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Eric
9 months ago
I practiced a similar question where spending on prevention costs led to lower failure costs. So, I wonder if B is correct because it aligns with that concept.
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Bong
9 months ago
I'm a bit confused about the difference between internal and external failure costs. I feel like B could be the right choice since it mentions reducing returns.
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Tish
9 months ago
I remember that conformance costs are related to ensuring quality, so I think A and B might be relevant here.
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Socorro
9 months ago
Based on the information provided, I think option B is the correct answer. Reducing the number of faulty products returned would decrease external failure costs.
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Miles
9 months ago
I'm a bit confused about the difference between internal and external failure costs. Can someone explain that to me?
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Madalyn
9 months ago
Okay, let's think this through. The company increased spending on training and inspections, which are conformance costs. And that led to a reduction in faulty products, so it seems like option A is the correct answer.
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Refugia
10 months ago
This question seems straightforward, but I want to make sure I understand the concepts of conformance and non-conformance costs before answering.
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Irene
10 months ago
The Apex Trigger with @future annotation in option C could work, but I'm not sure if that's the most elegant solution. And the ETL tool in option D doesn't seem to fit the event-driven, asynchronous requirement.
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Jerilyn
10 months ago
The question is asking which statement about patch management is false, so I'll need to carefully evaluate each option to identify the one that is incorrect.
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Nada
10 months ago
Okay, let's see here. The sequence was created with a cache of 10, and the first value returned was 1. So the next value should be 11 if we modify the sequence properly.
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Suzi
10 months ago
Hmm, I'm a bit unsure about this one. The options seem similar, and I want to make sure I pick the right one that specifically addresses why Chris is calculating the KRI. I'll need to read through the question and options carefully.
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Son
1 year ago
This question is as clear as mud. I think the company should just start selling the faulty products as premium 'surprise' editions. Guaranteed to keep customers on their toes!
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Judy
1 year ago
D) Spending more on prevention costs has resulted in a reduction in appraisal costs.
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Judy
1 year ago
C) Spending more on non-conformance costs has resulted in a reduction in conformance costs.
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Judy
1 year ago
B) Spending more on conformance costs has resulted in a reduction in external failure costs.
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Judy
1 year ago
A) Spending more on conformance costs has resulted in a reduction in internal failure costs.
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Willetta
1 year ago
I'm with the majority on this one. Option B is the way to go. Conformance costs FTW!
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Major
1 year ago
It's clear that investing in staff training and product inspections has paid off in terms of reducing external failure costs.
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Major
1 year ago
Definitely, spending more on conformance costs has helped reduce the number of faulty products returned by customers.
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Major
1 year ago
I agree, option B is the correct statement. Conformance costs have indeed resulted in a reduction in external failure costs.
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Yong
1 year ago
Haha, the company should have just thrown the faulty products out the window and called it a day! But seriously, option B seems like the right answer here.
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Hana
1 year ago
This is a classic quality management question. Option B makes the most sense to me. Conformance costs lead to a reduction in external failure costs.
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Herman
1 year ago
Exactly, it's all about investing in quality to avoid costly failures in the long run.
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Blair
1 year ago
That makes sense. Conformance costs are related to preventing defects before they occur, which would ultimately reduce external failure costs.
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Tegan
1 year ago
B) Spending more on conformance costs has resulted in a reduction in external failure costs.
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Jannette
1 year ago
A) Spending more on conformance costs has resulted in a reduction in internal failure costs.
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Billye
1 year ago
I think option B is correct. Spending more on conformance costs, like staff training and product inspections, has reduced the number of faulty products returned, which are external failure costs.
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Rickie
1 year ago
It's great to see the positive impact of total quality management on the company's product quality.
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Sunshine
1 year ago
Yes, investing in conformance costs has definitely helped reduce external failure costs.
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Tegan
1 year ago
I agree, option B seems to be the correct statement.
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Annamae
1 year ago
I believe option B) is also a possibility. By improving product quality through TQM, the company may have reduced external failure costs as well.
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Daren
1 year ago
I agree with Jannette. By investing in staff training and product inspections, the company is preventing internal failures, which reduces the number of faulty products returned.
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Jannette
1 year ago
I think the correct statement is A) Spending more on conformance costs has resulted in a reduction in internal failure costs.
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