1.
To prepare: A
2.
a.
To compute: The unit cost if rejection is attributable to exacting specification of this particular job also journalizes it.
Given information:
Mixed vegetable cost is $9.
Number of cases is 2100.
Spoilage realized is 840.
b.
To compute: The unit cost if rejection is categorized on the basis of production process and not for the specific job also journalizes it.
c.
To explain: Whether the unit cost in part a, and b above is same.
3.
a.
To compute: The unit cost of cases if additional cost were incurred because of existing specification of this job and journalize it also.
b.
To compute: The unit cost of cases if additional cost occurs regularly because of difficulty in season and journalize it also.
c.
To explain: Whether the unit cost is same in part a and b above.
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Cost Accounting: A Managerial Emphasis, 15th Edition
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