Standard costs are used for evaluating performance and controlling costs but they are never used for costing products.

Question

Quizplus · Accepted Answer

Standard costs are used not only for evaluating performance and controlling costs, but also for costing products. Standard costs can be used as a benchmark for determining the cost of a product and comparing it to the actual cost. This helps to identify areas where costs can be reduced and improve profitability.

Standard Costs Are Used for Evaluating Performance and Controlling Costs