cost accttest bank chap11,12.docxVIP

MULTIPLE CHOICE 32. Managers often cite reductions in the costs of spoilage as a(n): a. major justification for implementing a just-in-time production system b. measurement of improved output quality c. immaterial item that is not to be tracked d. indication of improvement in the accounting system Answer: a Difficulty: 2 Objective: 1 Terms to Learn: spoilage 33. Unacceptable units of production that are discarded or sold for reduced prices are referred to as: a. reworked units b. spoilage c. scrap d. defective units Answer: b Difficulty: 1 Objective: 1 Terms to Learn: spoilage 34.