Standard costs are:

A. Established by the IMA.

B. Uniform among companies within an industry.

C. Actual costs incurred to produce a specific product or perform a service.

D. Rarely achieved.

E. Preset costs for delivering a product or service under normal conditions.

Question

Layton Ford

Business

11 May, 14:26

Standard costs are:

A. Established by the IMA.

B. Uniform among companies within an industry.

C. Actual costs incurred to produce a specific product or perform a service.

D. Rarely achieved.

E. Preset costs for delivering a product or service under normal conditions.

+5

Answers (1)

Know the Answer?

Esther Quinn · Answer 1

The answer is E.

Explanation:

Standard cost are budgeted cost and are compared with actual cost at the end of the process to determine whether the variance is favorable or unfavorable.

Standard cost is based on the present cost for delivery a product or acquiring a product. Because present cost will be used for budgeting. Sometimes standard cost are based on historical cost will be used to determine the present cost.

Standard costs are:A. Established by the IMA.B. Uniform among companies within an industry.C. Actual costs incurred to produce a specific product or perform a service.D. Rarely achieved.E. Preset costs for delivering a product or service under normal conditions.

Standard costs are:

A. Established by the IMA.

B. Uniform among companies within an industry.

C. Actual costs incurred to produce a specific product or perform a service.

D. Rarely achieved.

E. Preset costs for delivering a product or service under normal conditions.