Question
Consider a manufacturer who uses job-order costing. The company has a toll free customer service number that customers can call 24/7 to complain about issues
Consider a manufacturer who uses job-order costing. The company has a toll free customer service number that customers can call 24/7 to complain about issues experienced with the purchased product. All phone calls are recorded and the company hires individuals who randomly perform quality control tests by listening to the recorded calls. The purpose is to potentially detect customer service reps that are not doing a good job handling customers who call in with complaints about the product. True or False: the cost of labor for the individuals quality checking the recorded calls would be expensed in the period incurred under the normal accrual accounting rules.
A. True
B. False
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