Q736
Production units that do not meet customer specification, but can be sold to other customers as finished goods are classified as
A.
reduced work
B.
spoilage
C.
rework
AnswerD.
scrap
Answer: Option C
Solution
Answer: Option C
Solution:
Production units that do not meet customer specification, but can be sold to other customers as finished goods are classified as rework. Rework refers to the correction of a product that does not initially meet an entity's minimum quality standards.