UNIT 8 $6,860 ($9,800 X .70) COST OF NEXT 7 UNITS = (8 X $6,860...

186. Correct answer c. Abnormal spoilage is spoilage that should not arise under efficient

production conditions and is written off as a loss in the period in which it is detected.

Therefore, there would be no effect on the unit manufacturing cost of Job 532 but operating

income would decrease.