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Q - "In job costing, the cost of normal spoilage that occur while a specific job is being done are charged to the specific job". Explain.
Q - “In job costing, the cost of normal spoilage that occur while a specific job is being done are charged to the specific job”. Explain.A - Normal spoilage is spoilage inherent in a particular production process. Normal spoilage is spoilage that is directly related to a job. This is why they are charged to the specific job. The job is not able to be done without this spoilage being occurred. Like when materials are used to make a product the cost of those material are charged to the job those material were used for. It is the same concept without one you would not have the other. Instructor’s Q - Is that the best method? Why or why not? Criteria – NoneReference - Horngren, C. T., Datar, S.M., Foster, G., Rajan, M., & Ittner, C. (2009). Cost Accounting: A Managerial Emphasis (13th ed.). Upper Saddle River, NJ: Pearson Prentice Hall.
Normal Spoilage is unavoidable and inherent loss in the process. By the pastexperience the normal loss is always mentioned with the specification of productiontechniques. The normal loss...