Standard costing allows management to:
I. Measure performance
II. Identify inefficiencies
III. Control costs
A) I and II only
B) I and III only
C) II and III only
D) I, II, and III

Question

Quizplus · Accepted Answer

Standard costing allows management to measure performance by comparing actual costs to standard costs, identify inefficiencies by analyzing variances, and control costs by setting standards and continuously monitoring and improving operations. Therefore, all options I, II, and III are true.

Standard Costing Allows Management To