Which Statement Is True Regarding a Standard Cost System

question 83

Multiple Choice

Which statement is true regarding a standard cost system?

• A)Both actual and standard costs are used.
• B)Only standard costs are used.
• C)If variances occur,then something negative in the operations has occurred.
• D)Standards are used only when actual amounts are not available.

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Definitions:

Conditioned Response

The learned reaction to a previously neutral stimulus, brought about by conditioning.

Reflex

An automatic, involuntary response to a stimulus that does not involve conscious thought, designed to protect the body.

Maturation

Changes that occur according to one’s genetically determined biological timetable of development.

Learning

A process that induces changes in knowledge, behaviors, or attitudes through experience, practice, or study.