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Which of the following sentences is true of normal spoilage and abnormal spoilage?

jerico

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9 years ago

Which of the following sentences is true of normal spoilage and abnormal spoilage?

Which of the following sentences is true of normal spoilage and abnormal spoilage?
A) Normal spoilage costs are inventoriable and are added to the cost of good units produced, while abnormal spoilage costs are deducted from the cost of good units produced.
B) Abnormal spoilage costs are inventoriable and are deducted from the cost of good units produced, while normal spoilage costs are expensed in the accounting period in which they occur.
C) Abnormal spoilage costs are inventoriable and are added to the cost of good units produced, while normal spoilage costs are expensed in the accounting period in which they occur.
D) Normal spoilage costs are inventoriable and are deducted from the cost of good units produced, while abnormal spoilage costs are expensed in the accounting period in which they occur.

Textbook

Cost Accounting

Cost Accounting

Edition: 14^th

Authors: Horngren, Datar, Rajan

Read 792 times

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cyborg

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jerico Author

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#2

9 years ago

This solved my problem perfectly, thank you for your kind input.

cyborg

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#3

9 years ago

I'm happy to help you, how luck with the others, I noticed you've posted a lot of questions.

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