Normal spoilage is subtracted from total spoilage to calculate
A. abnormal spoilage
B. Gross weighted spoilage
C. inventoriable spoilage
D. partial spoilage
Answer: Option A
Solution(By Examveda Team)
Normal spoilage is subtracted from total spoilage to calculate abnormal spoilage. Abnormal spoilage is the amount of waste or destruction of inventory beyond what is expected in normal business processes.Related Questions on Costing
Basic objective of cost accounting is ________
A. tax compliance.
B. financial audit.
C. cost ascertainment.
D. profit analysis.
Process costing is suitable for ________.
A. hospitals
B. oil refing firms
C. transport firms
D. brick laying firms
The cost which is to be incurred even when a business unit is closed is a _____.
A. imputed cost
B. historical cost
C. sunk cost
D. shutdown cost
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