Quality cost refers to "maintain the required quality standards on the quality of the costs incurred by." It is part of the total production costs; to ensure that the quality of satisfaction with the quality of the costs and not meet the quality requirements with the losses caused by expenses.

Quality cost is in accordance with the form of cost and quality into the quality of implied costs in accordance with the role into failure to control costs and control costs in accordance with the nature of running into cost and quality of external activities cost in accordance with the quality of links into direct and indirect costs Quality costs.

General quality cost elements include:
(1) As the product quality does not meet the required standards and the various types of losses, are: 
1. internal quality loss due to poor quality and that the various types of losses. For example, waste, defective losses, renovation costs, recheck costs, and the quality of accidents caused by the suspension losses. 
2. external quality losses that the products sold, due to product quality problems caused by various types of losses. For example, the claimed loss, breach of contract losses, price cuts deal with loss, and the waste, a defective repair kits, return and repair warranty and the losses.
(2) To ensure and improve product quality and the variety of costs, there are: 
1. inspection fees, also known as the identification of cost, quality means in accordance with the standards of product quality testing, evaluation and test of the various fees. For example, the feed testing fees, examination fees of supporting outsourcing, products and processes of testing fees, product testing costs, testing and maintenance of means testing, calibration and so on. 
2. the costs of prevention, also known as the prevention of cost, quality means to reduce losses and lower the cost of inspection fees. For example, quality control technology and management fees, the identification of new product assessment fees, process control costs, quality of management education and training costs, quality improvement measures for the quality of intelligence for processes such as capacity study.

The quality cost application can be divided into:
(1) the quality of the accounting scheme and the total cost of the plan or the total target value compared to grasp the overall quality of their products on the situation.
(2) the quality of enterprise operating costs of a project is reasonable to seek a more reasonable level of quality costs.
(3) calculated on the basis of cost and quality of the enterprise's overall economic indicators, such as in relation to enterprise sales, output, profits and other indicators of the ratio can be analyzed and evaluated the quality of the management level.
(4) failure cost analysis can find a product quality defects and weaknesses in the management of the primary means of cost analysis of the quality of the content.