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If Normal Spoilage Is Presumed to Occur Prior to a Specific

Question 49

Multiple Choice

If normal spoilage is presumed to occur prior to a specific inspection point, and abnormal spoilage is detected at other inspection points


A) unit costs of abnormal spoilage will differ from the unit cost of normal spoilage.
B) all spoilage will be recognized proportionately across the various inspection points.
C) abnormal spoilage will generally be less than normal spoilage.
D) normal spoilage costs may be allocated prior to inspection of the products and abnormal spoilage will be allocated after the inspection of the products.
E) unit cost of abnormal spoilage will be the same as unit costs of normal spoilage.

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