Answer the following statements true (T) or false (F)
1. A standard cost system is an accounting system that uses standards for product costs.
2. Setting standard costs is a function of the company's production department and does not require input from other departments.
3. Standard costs are developed by the cooperative effort of purchasing, production, human resources, and accounting personnel.
4. Companies conduct time-and-motion studies and use benchmarks from other companies when developing standards.
5. Developing efficiency standards based on best practices is called benchmarking.
An efficiency variance measures how well a company keeps unit costs of material and labor inputs within standards.
1. TRUE
2. FALSE
3. TRUE
4. TRUE
5. TRUE
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The Employment Opportunity Commission enforces federal and state antidiscrimination laws
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