In a Process Costing System,the Cost of Abnormal Spoilage Should

question 85

Multiple Choice

In a process costing system,the cost of abnormal spoilage should be:

• A)Prorated between units transferred out and ending inventory.
• B)Included in the cost of units transferred out.
• C)Treated as a loss in the period incurred.
• D)Ignored in the period incurred.

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Definitions:

Conform

To adjust one's behavior or thinking to coincide with a group standard.

Behaviors

How an individual or system responds or acts when subjected to outside or inside stimuli.

Hindsight Bias

The tendency to believe, after learning an outcome, that one would have foreseen it, known also as the "knew-it-all-along" effect.

Psychological Finding

Conclusions derived from scientific research or psychological studies that contribute to understanding the human mind and behaviors.