Friday, December 7, 2012

Accounting for rework in a process-costing system

ACCOUNTING

Multiple Choice

Accounting for rework in a process-costing system

a. accounts for normal rework in the same way as a job-costing system.

b. requires abnormal rework to be distinguished from normal rework.

c. if the rework is normal, then rework is accounted for in the same manner as accounting for normal rework common to all jobs.

d. all of the above are correct.

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