When Abnormal Rework Is Distinguished from Normal Rework, and Charged

question 112

Multiple Choice

When abnormal rework is distinguished from normal rework, and charged to a separate loss account, which of the following is a likely result?

• A)Prices will have to increase on the company's products accordingly.
• B)The amount of normal spoilage unfavourable efficiency variances will be less.
• C)The amount of normal spoilage unfavourable efficiency variances will be more.
• D)The amount of normal spoilage unfavourable efficiency variances will be unchanged.
• E)The abnormal spoilage variance will be closed to cost of goods manufactured.

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Definitions:

Computerized Tomography (CT) Scan

A medical imaging technique that combines a series of X-ray measurements taken from different angles to produce cross-sectional images of specific areas of the body.

Magnetic Resonance Imaging (MRI)

A non-invasive imaging technology that produces three-dimensional detailed anatomical images using strong magnetic fields and radio waves.

Transcranial Magnetic Stimulation (TMS)

A noninvasive method used to stimulate small regions of the brain using magnetic fields, often used in treating depression.

Spinal Cord

A long, thin, tubular structure made up of nervous tissue that extends from the medulla oblongata in the brain down to the lower back, acting as a major part of the central nervous system.