Standard costs are:

Question

Standard costs are:

Quizplus · Accepted Answer

Standard costs are preset costs for delivering a product or service under normal conditions. They are typically used as a benchmark for comparing actual costs incurred and identifying variances. Option A is incorrect because actual costs are not the same as standard costs. Option C is incorrect because the IMA does not establish standard costs. Option D is incorrect because standard costs can be achieved. Option E is incorrect because standard costs may vary between companies within an industry.

Standard Costs Are