At the end of the fiscal year, variances from standard costs are usually transferred to the
A) direct labor account
B) factory overhead account
C) cost of goods sold account
D) direct materials account

Question

Quizplus · Accepted Answer

Variances from standard costs are typically transferred to the Cost of Goods Sold (COGS) account at the end of the fiscal year. This adjustment ensures that the financial statements reflect the actual costs of production, thereby providing a more accurate picture of the company's financial performance.

At the End of the Fiscal Year, Variances from Standard