Abnormal spoilage of materials

Abnormal spoilage of materials

Question:

     Which of the following statements is correct regarding abnormal spoilage of materials used for a particular job?
a.it should be ignored as a product or period cost
b it should be treated as normal spoilage of materials
c it should be included in direct materials cost
d it should be expensed as a period cost or included in manufacturing overhead
Which of the following statements is correct regarding fringe benefits?
a fringe benefits should be classified as direct labor
b fringe benefits should be classified as indirect labor
c fringe benefits should be classified as period costs
d fringe benefits should be classified asproduct or period costs 

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