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The Auditor in Making Inquiries Regarding the Standard Cost Systems

Question 87

Multiple Choice

The auditor in making inquiries regarding the standard cost systems normally does not make which of the following inquiries?


A) the method for developing standard costs.
B) the method for identifying components of overhead and of allocating overhead to products.
C) the method for identifying sales cutoff.
D) the method used for identifying variances,following up on their causes,and allocating them to inventory and cost of goods sold.

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