The standard cost
ID:CVSCO

Video Overview

The focus of cost and management accountants is the planning, control and decision making regarding future events.  Predicting or budgeting how much one unit of a product is going to cost in the coming period, is extremely important as the budgeted selling price is based on the budgeted costs. If the actual costs vary from the budgeted costs, this will mean the entity will not make the predicted profit. Such budgeted costs are called the standard cost.

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