Q198
Abnormal cost is the cost:
A.
Cost normally incurred at a given level of output
B.
Cost not normally incurred at a given level of output
AnswerC.
Cost which is charged to customer
D.
Cost which is included in the cost of the product
Answer: Option B
Solution
Answer: Option B
Solution:
Abnormal cost is the cost not normally incurred at a given level of output. These costs are not normally incurred at a given level of output in conditions in which normal levels of output occur.