alleryStart learning →Which cost accounting method was introduced in the 1920s as an alternative to historical costs?
AMarginal costing
BThroughput accounting
CActivity-based costing
DStandard costing
Answer & Solution
Correct answer: D. Standard costing
Standard costing set predetermined norms for materials and labour instead of relying on past recorded costs.
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Related questions
Management accounting information is computed by reference to whose needs?Variance analysis compares actual and budgeted cost of which inputs?What happens in management by exception when a deviation from the norm is insignificant?In passive management by exception, when does the manager step in?An adverse variance exists when budget versus actual leads to what effect on profit?Under standard costing, where are fixed costs of unsold goods made in a period carried forVariance analysis is a tool of budgetary control and of what other function?Besides costs, variance analysis can also be carried out for which other item?