If Marginal Cost Is Above the Average Variable Cost, Then

question 172

True/False

If marginal cost is above the average variable cost, then average variable cost is decreasing.

Comprehend the accounting treatment of normal and abnormal spoilage in cost accounting.

Grasp the concept of equivalent units and how they are used in process costing, including differences between weighted average and FIFO methods.

Understand the rationale behind using predetermined overhead rates in costing.

Identify the characteristics of products that dictate the selection of a specific costing system.