Rework costs are:
A) Always tracked
B) Never tracked
C) Sometimes tracked
D) Deferred until the cash cycle is complete

Question

Quizplus · Accepted Answer

Rework costs are sometimes tracked depending on the company's accounting practices and management policies. Some companies may track rework costs as a separate cost item, while others may include them in the overall cost of production. It is important for companies to track rework costs to identify areas of improvement in production processes and to minimize costs. However, not all companies may choose to track rework costs.

Rework Costs Are