The standard price per unit for direct materials should reflect the final, delivered cost of the materials.

Question

Quizplus · Accepted Answer

The standard price per unit for direct materials should be based on the final, delivered cost of the materials, which includes all costs associated with purchasing, receiving and bringing the materials to the production facility. This ensures that the standard cost of the finished product accurately reflects the true cost of the materials used in production.

The Standard Price Per Unit for Direct Materials Should Reflect