Disadvantages of Using Standard Costs Include All of the Following

question 92

Multiple Choice

Disadvantages of using standard costs include all of the following except

• A)the cost of keeping standards up-to-date.
• B)the shift towards salaried employees means that labor costs are now fixed rather than variable.
• C)practical standards can discourage employees and decrease productivity.
• D)traditional standards can promote unfavorable employee behavior.

---

Definitions:

Interpersonal Interactions

Exchanges or engagements between two or more people, encompassing both verbal and non-verbal communication.

Objective-and-task Method

The objective-and-task method is a budgeting technique where a company defines specific marketing objectives and then estimates the costs of tasks needed to achieve these objectives, thereby determining the marketing budget.

IMC Budgeting

IMC stands for Integrated Marketing Communications; it refers to the process of allocating funds towards a cohesive marketing strategy that integrates various communication tools and channels.

Set Objectives

The process of defining specific, measurable goals that a person or organization aims to achieve within a timeframe.