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Author Question: Shazam Machines produces numerous types of money change machines. All machines are made in the same ... (Read 152 times)

rl

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Question 1

How do job-costing systems account for spoilage?

Question 2

Shazam Machines produces numerous types of money change machines. All machines are made in the same production department and many use exactly the same processes. Because customers have such different demands for the machine characteristics, the company uses a job-costing system. Unfortunately, some of the production managers have been upset for the last few months when their jobs were charged with the spoilage that occurred over an entire processing run of several types of machines. Some of the best managers have even threatened to quit unless the accounting system is changed. 

Required:
What recommendations can you suggest to improve the accounting for spoilage?


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Marked as best answer by rl on Mar 6, 2021

yahahah24021

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rl

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Reply 2 on: Mar 6, 2021
Excellent


at

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Reply 3 on: Yesterday
Great answer, keep it coming :)

 

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