Which of the following statements is false?
A) Standard cost systems use budgeted costs of direct material and direct labour.
B) Variances provide a means of performance evaluation and rewards for employees.
C) A standard costing system is usually more expensive than an actual costing system.
D) Variances provide motivation for employees to adhere to standards.

Question

Quizplus · Accepted Answer

A standard costing system is generally less expensive than an actual costing system because it typically involves less record-keeping and less frequent tracking of actual costs. The other statements are all true.

Which of the Following Statements Is False