Question

Standard Costing specifically relates to the function of

Answer 1

Explanation:

Standard cost is an estimated or predetermined cost of performing an operation or producing a good or service, under normal conditions. Standard costing is a control technique that reports variances by comparing actual costs to pre-set standards so facilitating action through management by exception.

Answer 2

Answer:

Standard costing often referred to as standard cost accounting, is used to create budgets and make predictions for expenses.

Explanation:

• This type of cost accounting is generally used in the manufacturing sector since it is easier to assign expenditures directly to the products being manufactured.
• A standard costing system is a technique used in accounting to prepare budgets, monitor and control costs, and assess the effectiveness of cost management. Estimating the costs necessary for a production process is part of a typical costing methodology.
• Standard costs are estimations of your product's manufacturing expenses or cost of goods sold. Typically, the three components are direct materials, direct labor, and manufacturing overhead.