Which of the following statements concerning standards iscorrect?A. Standards cannot be used for product costing and cashbudgeting.B. Standards should not be attainable by the average worker.C. Variances are likely when compared to actual results.D. All of the above.E. None of these.

A. Standards cannot be used for product costing and cash budgeting.This statement is…

Answered: Which of the following statements…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter8: Standard Costs And Variances

Section: Chapter Questions

Problem 23MC: Which of the following is a possible cause of an unfavorable material quantity variance? A....

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Which of the following statements concerning standards is correct? A. Standards cannot be used for product costing and cash budgeting. B. Standards should not be attainable by the average worker. C. Variances are likely when compared to actual results. D. All of the above. E. None of these.
please provide correct answer General accounting question
The following sentences relate to achieving the financial goal of cost minimization. Which of the following statements is FALSE? a. Prioritizing which costs to incur relates to the operating decisions of the firm only.b. Savings is the end product of this financial goal.c. There is a need to determine cost.d. Controling costs involves addressing unfavorable cost variances.
Identify the cause of an unfavorable variance in profit. a.Actual labor cost is lower than budget b.Actual sales volume is higher than budget c.Actual material cost is higher than budget d. Actual sales price is higher than budget Explain
Which of the following is NOT a problem associated with standard cost accounting? a. Standard costing motivates management to produce large batches of products and build inventory. b. Applying standard costing leads to product cost distortions in a lean environment. c. Standard costing data are associated with excessive time lags that reduce its usefulness. d. The financial orientation of standard costing may promote bad decisions. e. All of the above are problems with standard costing.
When using the general methods to estimate cost behavior, A. It is a good idea to use multiple methods so results can be compared B. Managers often apply their own best judgement as a first step in the estimation process C. Results are likely to differ from method to method D. Large differences in methods suggest that the cost cannot be estimated.
Choose best general account options
Which of the following statement is true under the Standared Costing System a. Standard cost is a predetermined or estimated cost to either produce a good/service or perform an activity within the organisation b. Standard cost is a control technique that helps to report variances by comparing pre-set standards to actual costs to facilitate action c. Both a and b are incorrect d. Both a and b are correct
Which of the following statements is false? Standard costs (e.g., how much should be paid for each unit of input) are benchmarks for measuring performance. Managers should investigate only unfavorable variances. Variance analysis enhances responsibility accounting. A variance is the difference between the budgeted amount and actual amount.
In a business, who is responsible for setting standard costs, and who is responsible if there are negative variances from standard?
If the organization operates at an activity level outside the relevant range, any cost predictions based on data from the relevant range may not be very accurate. True or False?
Which of the following is a possible cause of an unfavorable material price variance? A. purchasing too much material B. purchasing higher-quality material C. hiring substandard workers D. buying substandard material

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Which of the following statements concerning standards is correct? A. Standards cannot be used for product costing and cash budgeting. B. Standards should not be attainable by the average worker. C. Variances are likely when compared to actual results. D. All of the above. E. None of these.