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This question belongs to Commerce Costing
Costing
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The loss which arise in manufacturing activity on account of inherent nature of the product is ________.

Answer & Solution
Correct Answer: Option A
The loss which arise in manufacturing activity on account of inherent nature of the product is normal loss. Normal loss means that loss which is inherent in the processing operations. It can be expected or anticipated in advance i.e. at the time of estimation.
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