In Which of the Following Situations Would the Use of a Standard

question 83

Multiple Choice

In which of the following situations would the use of a standard cost system to control labour costs not necessarily yield useful results?

• A) A business is employing responsibility accounting.
• B) The pace of production is constrained by machine processing speeds.
• C) The bookkeeping systems charges materials,labour and overhead costs to work-in process inventory using standard costs.
• D) In addition to the full monthly standard cost reports the business uses a system where variances are estimated on weekly basis.

---

Definitions:

Tuberculin Syringes

Precisely calibrated syringes used for administering small doses of medication, commonly used for tuberculosis testing.

Measurable Dose

A quantifiable amount of a substance, such as medicine, that can be precisely determined.

20-mL Syringe

A syringe with a capacity of 20 milliliters used for administering larger volumes of medication or fluid.