The Type of Standard That Expects No Waste and No

question 76

Multiple Choice

The type of standard that expects no waste and no inefficiencies in the production process is referred to as a(n)

• A)ideal standard.
• B)efficiency standard.
• C)realistic standard.
• D)practical standard.

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Definitions:

Qualitative Characteristics

Features that make financial information useful to users, including relevance and faithful representation, among others, guiding the preparation and presentation of financial statements.

GAAP

A group of customary accounting regulations and benchmarks used in financial reporting.

Inventory Cost Flow

An accounting method that determines the cost assigned to goods sold and ending inventory based on the order in which the costs were incurred.

Class Action Lawsuit

A legal action filed by one or several individuals on behalf of a larger group of people who are affected by the same issue.