Which of the Following Statements Is Correct

question 31

Multiple Choice

Which of the following statements is correct?

• A) Standard costs are the costs necessary to produce an average or standard product.
• B) Standard costs can serve as benchmarks against which budgeted performance is measured.
• C) The limitation of actual costs is that they represent what happened not necessarily what should have happened.
• D) Standard costs can only be used for analytical purposes and can never be incorporated into the formal accounting system.

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Definitions:

Dependent Clause

A group of words that contains a subject and verb but does not express a complete thought and cannot stand alone as a sentence.

Tough

Used to describe something very difficult to endure or deal with; also, refers to materials or objects that are hard to break or damage.

Overuse

Using something too much to the point where it becomes ineffective or harmful.

Choppy

Describes writing or speech that is abrupt and lacks smooth transition, making it difficult to follow.