Conformance costs

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Conformance costs are the combination of prevention and appraisal costs; the costs incurred to make sure a product or service is not defective and therefore conforms to its intended design.

Definitions

According to Managerial Accounting by Braun, Tietz (5th edition),

Conformance costs. The combination of prevention and appraisal costs; the costs incurred to make sure a product or service is not defective and therefore conforms to its intended design.