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    Cost Accounting
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    Exam 18: Spoilage, Rework, and Scrap
  5. Question
    When the Dollar Amount of Scrap Is Immaterial, the Simplest
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When the Dollar Amount of Scrap Is Immaterial, the Simplest

Question 139

Question 139

True/False

When the dollar amount of scrap is immaterial, the simplest accounting is to record the physical quantity of scrap returned to the storeroom and to regard scrap sales as a separate line item in the income statement.

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