Question

In addition to developing the standard cost for a unit of product, organizations may determine standards for other activities. Identify the appropriate activities that can be expressed as standards.

Answer 1

Organizations may determine standards for activities such as material standards, labor standards, and overhead standards.

Step-by-step explanation:

In addition to developing the standard cost for a unit of product, organizations may determine standards for other activities. These activities can be expressed as standards:

1. Material standards: These standards define the quantity and quality of materials to be used in production.
2. Labor standards: These standards establish the amount of labor required to produce a unit of product.
3. Overhead standards: These standards represent the expected costs of indirect materials, indirect labor, and other overhead expenses.