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The costs of normal and abnormal spoilage are accounted in the accounting records, the costs associated with any abnormal spoilage are?

A. Charged to a special abnormal spoilage loss account.

 

B. Allocated between the units transferred to finished goods and those remaining in work-in-process.

 

C. Charged to the manufacturing overhead control account.

 

D. Assigned to the good units transferred to finished goods.

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Question ajoutée par Hossam Mohamed , Senior Accountant , Allied Arab Assurance Brokerage
Date de publication: 2015/08/16
Mohammed Asim Nehal
par Mohammed Asim Nehal , M Asim Nehal & Co , Chartered Accountants

They are separately accounted for as  losses of the period. 

Anoop Mohan
par Anoop Mohan , Finance Manager , Arafa plywoods

option a..............................................................................................

Iftikhar Hussain Shah
par Iftikhar Hussain Shah , Senior Manager Audit & Assurance , Deloitte LLP

Option A is correct..............

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