d. costs of normal shrinkage and scrap incurred for the manufacture of a product in ending inventory.
53. Which of the following types of interest cost incurred in connection with the purchase or manufacture of inventory should be capitalized as a product cost?
a. Purchase discounts lost
b. Interest incurred during the production of discrete projects such as ships or real estate projects
c. Interest incurred on notes payable to vendors for routine purchases made on a repetitive basis
d. All of these should be capitalized.
54. The use of a Discounts Lost account implies that the recorded cost of a purchased inventory item is its
a. invoice price.