Q732
Units of normal spoilage are divided to total completed units, rather than total actual produced units to calculate
A.
normal spoilage rates
AnswerB.
abnormal spoilage rates
C.
normal scrap rates
D.
abnormal scrap rates
Answer: Option A
Solution
Answer: Option A
Solution:
Units of normal spoilage are divided to total completed units, rather than total actual produced units to calculate normal spoilage rates. The normal spoilage will be calculated as the total number of spoiled units, divided by the total units produced, and multiplied by 100.