Question

Using standard costs can make management planning more difficult. weakens management control. does not help in setting prices. promotes greater economy.

Answer 1

promotes greater economy.

Step-by-step explanation:

The standard cost is the predicted cost that is used for manufacturing the product. It involves direct material cost, direct labor cost, and manufacturing cost. Instead of using the actual cost of the above costing use the expected or standard cost so that the company could known about the variances that lies between the actual cost and the standard cost

Therefore by using the standard cost it promotes the greater economy

Hence, the last option is correct