The full Cost of Quality is the sum of traditional Quality costs that are already captured added to the hidden costs. Interestingly, the costs associated with hidden factors are often greater than the visible (traditional) costs that existing reports track.
Keeping this in consideration, what is hidden cost fallacy?
A common fixed-cost fallacy is to let overhead or depreciation costs influence short-run decisions. The hidden-cost fallacy occurs when you ignore relevant costs. A common hidden-cost fallacy is to ignore the opportunity cost of capital when making investment or shutdown decisions.
What is an imputed cost?
An imputed cost is a cost that is incurred by virtue of using an asset instead of investing it or undertaking an alternative course of action. An imputed cost is an invisible cost that is not incurred directly, as opposed to an explicit cost, which is incurred directly.
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