The correct answer is: B. Normal waste
Normal waste is a type of waste that is unavoidable in the production process. It is a necessary part of the production process and is therefore included in the cost of production. Abnormal waste, on the other hand, is a type of waste that is not necessary in the production process and is therefore not included in the cost of production.
Normal waste is usually caused by factors such as the nature of the materials being used, the type of production process being used, and the level of skill of the workers. It is usually estimated as a percentage of the total production output.
Abnormal waste is usually caused by factors such as accidents, machine breakdowns, and human error. It is usually not estimated as a percentage of the total production output, but is instead recorded as a separate cost item.
Here are some examples of normal waste:
- Shavings from wood that is being cut
- Scrap metal from metal that is being machined
- Spoilage from food that is being cooked
Here are some examples of abnormal waste:
- Damaged goods that are returned by customers
- Scrap material that is left over from a production run
- Defective products that are discarded
I hope this helps! Let me know if you have any other questions.