Homework Clinic

Social Science Clinic => Accounting => Topic started by: 809779 on Mar 6, 2021

Title: A company produces 11,000 units of which 600 are spoiled units because the process, even though ...
Post by: 809779 on Mar 6, 2021

Question 1

What is the distinction between normal and abnormal spoilage?

Question 2

A company produces 11,000 units of which 600 are spoiled units because the process, even though carefully and efficiently executed is unable to produce good units 100% of the time. Another 80 units are spoiled because machines broke down and there also were operator errors. What is the normal spoilage rate (round to two decimal places)
◦ 6.18%
◦ 5.81%
◦ 5.45%
◦ 0.73%
Title: A company produces 11,000 units of which 600 are spoiled units because the process, even though ...
Post by: taylorsonier on Mar 6, 2021

Answer 1

Normal spoilage is inherent in a particular production process and arises when the process is done in an efficient manner. Abnormal spoilage, on the other hand, is not inherent in a particular production process and would not arise under efficient operating conditions. Abnormal spoilage is usually regarded as avoidable and controllable.

Answer 2

5.81%
Title: Re: A company produces 11,000 units of which 600 are spoiled units because the process, even though
Post by: Sin Ting on Sep 23, 2021
thank you
Title: Re: A company produces 11,000 units of which 600 are spoiled units because the process, even though
Post by: Erica Mendevil on Nov 14, 2021
Thank you