Explain normal wastage abnormal wastage and abnormal effectiveness
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your answer is :
Abnormal wastage is a wastage which does not occur in the natural course and is usefully in excess of the normal process wastage or loss. This occurs because of carelessness on the part of the worker or the management, defective scheduling or designing, sabotage etc.
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Normal wastage abnormal wastage and abnormal effectiveness are terms related to finance.
- Normal wastage is unavoidable wastage that occurs in due course of operation.
- It is a natural wastage.
- Normal wastage and loss is accounted to goods units.
- Abnormal wastage is not natural.
- It arises due to mishandling or carelessness.
- When production or yield exceeds the expected product, this is called abnormal effectiveness.
- It does not affect cost of producing goods unit.
- #SPJ3
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