A Primary Purpose of Using a Standard Cost System Is

question 78

Multiple Choice

A primary purpose of using a standard cost system is

• A)to make things easier for managers in the production facility.
• B)to provide a distinct measure of cost control.
• C)to minimize the cost per unit of production.
• D)b and c are correct.

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Definitions:

Necessary

A condition or requirement that is indispensable or essential for something to occur or be the case.

Rationalists

Philosophers or thinkers who emphasize reason, logic, and intellect over sensory experience or empirical evidence as the primary sources of knowledge.

Coherence

The property of being a unified whole, with all elements fitting together well.

Rationality

The quality of being based on or in accordance with reason or logic; typically applied in the context of human decision-making processes that are logical, sensible, and based on clear thinking or reason.