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A primary purpose of using a standard cost system is to make things easier for managers in the production facility

Finance Mar 15, 2021

A primary purpose of using a standard cost system is

    1. to make things easier for managers in the production facility.
    2. to provide a distinct measure of cost control.
    3. to minimize the cost per unit of production.
    4. b and c are correct.

Expert Solution

Answer: b . to provide a distinct measure of cost control .

The advantages of using standard cost system is that it is used for product costing for cost control and for making decisions. However, standard costing is a lengthy and expensive process.

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