Asked by
julissa arroyo
on Oct 15, 2024
Verified
When recording variances in a standard cost system:
A) Only unfavorable material variances are debited.
B) Only unfavorable material variances are credited.
C) Both unfavorable material and labor variances are credited.
D) All unfavorable variances are debited.
E) All unfavorable variances are credited.
Standard Cost System
A cost accounting system that uses predetermined costs for materials, labor, and overhead charges to control actual costs and measure variances.
Material Variances
Material variances are differences between the actual costs of materials and the expected (or standard) costs.
- Comprehend the principles and methods for calculating different cost variances within the scope of managerial accounting.
Verified Answer
FS
Learning Objectives
- Comprehend the principles and methods for calculating different cost variances within the scope of managerial accounting.