ExamTopics Logo
Mail Us[email protected]
Menu
Microsoft Discussions
exam questions

Exam MB-320 All Questions

View all questions & answers for the MB-320 exam
Go to Exam

Exam MB-320 topic 2 question 7 discussion

Actual exam question from Microsoft's MB-320
Question #: 7
Topic #: 2
[All MB-320 Questions]

A company produces rubber hose using Discreet orders accounts for raw material scrap after report as finished through inventory movement journals.
The company has noticed that most of the scrap that is recorded is due to start up that feeds the hose to the finishing process. In addition, the amount of scrap that is recorded is consistent regardless of the amount of hose being produced.
You need to account for material cost during startup.
What should you do?

  • A. Do a case study for the scrap items and enter the average amount of scrap as a separate line items on the Bill of materials.
  • B. Enter the amount of scrap that is consumed as constant scrap in the Bill of materials.
  • C. Enter the amount of scrap that is consumed as variable scrap in the Bill of materials.
  • D. Enter the consumption amount on the line to match the actual amount used.
Show Suggested Answer Hide Answer
Suggested Answer: B 🗳️
by ZVV at Feb. 16, 2021, 2:54 p.m.

Comments

Chosen Answer:
This is a voting comment (?). It is better to Upvote an existing comment if you don't have anything to add.
Switch to a voting comment New
Submit Cancel
viking1
3 years, 10 months ago
B is correct. This is a text book case for constant scrap.
upvoted 2 times
...
Community vote distribution
A (35%)
C (25%)
B (20%)
Other
Most Voted
A voting comment increases the vote count for the chosen answer by one.

Upvoting a comment with a selected answer will also increase the vote count towards that answer by one. So if you see a comment that you already agree with, you can upvote it instead of posting a new comment.

SaveCancel