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What is a divestiture? Describe the two common types of divestitures.What types of businesses should be divested?
Standard Hourly Rate
The predetermined cost per hour for labor, used in budgeting and costing to assign labor costs to products and services.
Standard Quantity
The budgeted or pre-determined amount of material or input expected to be used during a manufacturing process.
Standard Hours Allowed
The time that should have been taken to complete the period’s output. It is computed by multiplying the actual number of units produced by the standard hours per unit.
Material Price Variances
The difference between the expected cost of materials and the actual cost incurred, useful in budgeting and cost management.
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