Which of the Following Is Not an Advantage of Standard

question 95

Multiple Choice

Which of the following is not an advantage of standard costing over normal costing and actual costing?

• A) A greater capacity for control.
• B) Ability to easily distinguish the FIFO and weighted average methods of accounting for beginning inventory costs.
• C) Computing a unit cost for each equivalent unit cost category is not necessary.
• D) Providing for readily available unit cost information.
• E) All of these are advantages of standard costing.

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Definitions:

Apparent Authority

The appearance or impression given by the actions of a person that they have the authority to act on behalf of another or an entity, leading others to reasonably believe such authority exists.

Express Agency

A relationship where the agent is explicitly given the authority to act on behalf of the principal, often through a written or verbal agreement.

Obligation

An obligation, either ethical or legal, to take a certain action or to avoid taking a particular action.

Terminates

Marks the end or conclusion of something, such as a contract, agreement, or employment.