What is meant by classifying costs functionally
Response to the following problem:
What is meant by classifying costs (a) functionally and (b) behaviorally? Why would a company be concerned about functional and behavioral classifications?
Make sure you use enough details to support your answer.
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Prepare journal entries to record the accounting for the cost of the spoiled chips and for rework.
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Why would a company be concerned about functional and behavioral classifications?
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