![]() ![]() ![]() 18-4 Abnormal spoilage is spoilage that is not inherent in a particular production process and would not arise under efficient operating conditions. Management decides the spoilage rate it considers normal depending on the production process. Normal spoilage is spoilage inherent in a particular production process that arises even under efficient operating conditions. It has low total sales value compared to the total sales value of the product. Scrap-residual material that results from manufacturing a product. Rework-units of production that do not meet the specifications required by customers but which are subsequently repaired and sold as good finished units. ![]() 18-2 Spoilage-units of production that do not meet the standards required by customers for good units and that are discarded or sold at reduced prices. To download more slides, ebook, solutions and test bank, visit ĬHAPTER 18 SPOILAGE, REWORK, AND SCRAP 18-1 Managers have found that improved quality and intolerance for high spoilage have lowered overall costs and increased sales. ![]()
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