Generally speaking, it is the responsibility of the production department to see that material usage is kept in line with standards

Question

Quizplus · Accepted Answer

Direct materials standards and direct labor standards are typically set by the production department in collaboration with the finance department. Direct materials standards are established based on the quality and quantity of materials needed to produce a unit of product, as well as the current market prices for those materials. Direct labor standards are set based on the time required to complete a specific task, as well as the wages and benefits paid to employees. Both types of standards are important tools for tracking and controlling costs in a manufacturing environment.

Generally Speaking, It Is the Responsibility of the Production Department