Normal Losses

[Mataracy]

Normal losses in business is the losses which can not be avoided and there are some losses which are not expected to occur under efficient operating condition, for example the improper mixing of ingredients the use of inferior materials and the incorrect cutting of cloth.

There losses are not an inherent part of the production process and are referred to as ABNORMAL LOSSESS
Since normal losses arise from the nature of the production process, it is therefore logical and equitable that cost of such losses is included as part of the cost of good produced.

 

[Olajidey]

Normal loss is the loss incurred during the process of production it can not be avoided. it should be expected in business so you should add the cost to the cost of production. We also have an abnormal loss this abnormal loss can be avoided while normal loss can not be avoided.