Standard cost systems depend on which two types of standards?
A)quantity and price
B)quantity and efficiency
C)rate and price
D)rate and spending

Question

Quizplus · Accepted Answer

Standard cost systems rely on setting standards for both the quantity of inputs needed for each unit of output and the price of each unit of input. This allows for more accurate budgeting, cost control, and performance measurement. Efficiency, rate, and spending may be considered in determining the standards, but they are not the two types of standards that standard cost systems depend on.

Standard Cost Systems Depend on Which Two Types of Standards