Which of the Following Statements About Standardization Is NOT Correct

question 20

Multiple Choice

Which of the following statements about standardization is NOT correct?

• A) Standardization is used as the basis for custom-made machinery.
• B) The availability of standardized parts makes possible the replacement of defective and worn-out components.
• C) Standardized parts can reduce the cost of repairs.
• D) Standardized parts can be produced in quantity and assembled later.

Analyze the impact of changes in interest rates on the carrying value and fair value of notes receivable.

Understand how to calculate various types of variances, including material, labor, and overhead variances.

Comprehend the concept of variance analysis and its significance in managerial decision-making.

Recognize the application and preparation of flexible budgets in different scenarios.