CAPM Practice Exam 2025 – All-in-One Guide to Master Your Certified Associate in Project Management Exam!

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What causes internal failure costs?

Defects found before the product reaches the customer

Internal failure costs are costs incurred due to defects found before the product reaches the customer. These costs include rework, scrap, and retesting of products to ensure they meet quality standards before being delivered to customers. Investments in new technologies (option B), launching a new marketing campaign (option C), and training new employees (option D) are not directly related to internal failure costs. The correct answer is option A because it specifically addresses the consequences of defects identified internally before reaching the customer.

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Investments in new technologies

Launching a new marketing campaign

Training new employees

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