COMMERCE 2AB3 Final: Chapter_18_Spoilage_Rework_and_Scrap
Document Summary
Aacsb: analytical thinking: a production process which involves spoilage and rework occurs in ________, the manufacture of high precision machine tools, the manufacture of semiconductor units, the manufacture of clothing, the mining industry. Aacsb: analytical thinking: some amounts of spoilage, rework, or scrap are inherent in many production processes. Aacsb: analytical thinking: an item classified as spoilage has no value. Explanation: although the item does not meet the specifications, it may be sold as a second or for its scrap value. Copyright 2015 pearson education, inc: reworked goods are unacceptable units of production usually not capable of being repaired or converted into a salable product. Explanation: rework is units of production that do not meet the specifications required by customers but that are subsequently repaired and sold as good finished units. Aacsb: analytical thinking: rework is finished production that is not in accordance with customer desires. The product is redone and sold as finished goods.