The Peric Manufacturing Shop Produces Motorcycle Parts

question 137

Multiple Choice

The Peric Manufacturing Shop produces motorcycle parts. Typically, 17 pieces out of a job lot of 1200 parts are spoiled. Costs are assigned at the inspection point, $60.00 per unit. Spoiled pieces may be disposed at $8.00 per unit. The spoiled goods must be inventoried appropriately when the normal spoilage is detected. The current job requires the production of 3600 good parts.
Which of the following journal entries would be correct if the spoilage occurred due to specifications required for Job 101?

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Definitions:

Complications

Unforeseen problems or difficulties that arise in the course of a procedure or disease.

Car Origin

The country or place where a car was manufactured or first introduced.

Driver

In the context of software, a driver is a specific type of software component that allows the operating system and a device to communicate with each other.

Conditional Distributions

A statistical term describing the distribution of a variable given that a certain condition is met.