Vidyalelo
Commerce · Q748

Costing

Graduate and Post Graduate · Commerce · question 748

Q748

Type of spoilage, which is considered as controllable and can be avoided is called

A.
abnormal spoilage
Answer
B.
normal spoilage
C.
transferred-in spoilage
D.
transferred-out spoilage

Answer: Option A

Solution

Answer: Option A
Solution:
Type of spoilage, which is considered as controllable and can be avoided is called abnormal spoilage. Abnormal spoilage is the amount of waste or destruction of inventory beyond what is expected in normal business processes.