Limitations of Standard Costing # It cannot be used in those organizations where non-standard products are produced. If the production is undertaken according to the customer specifications, then each job will involve different amount of expenditures. # The process of setting standard is a difficult task, as it requires technical skills. The time and motion study is required to be undertaken for this purpose. These studies require a lot of time and money. # There are no inset circumstances to be considered for fixing standards. The conditions under which standards are fixed do not remain static. With the change in circumstances, if the standards are not revised the same become impracticable. # The fixing of responsibility is not an easy task. The variances are to be classified into controllable and uncontrollable variances. Standard costing is applicable only for controllable variances. For instance, if the industry changed the technology then the system will not be suitable. In that case, we will have to change or revise the standards. A frequent revision of standards will become costly.
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standard costing and variance analysis
Compare Standard costing vs variance analysis?"
Use the formula. Given the limitations of the browser here, it is not easy to show the formula.Use the formula. Given the limitations of the browser here, it is not easy to show the formula.Use the formula. Given the limitations of the browser here, it is not easy to show the formula.Use the formula. Given the limitations of the browser here, it is not easy to show the formula.
Unfortunately, limitations of the browser used by Answers.com means that we cannot see most symbols. It is therefore impossible to give a proper answer to your question. Please resubmit your question spelling out the symbols as "plus", "minus", "times", "equals". In general terms, the standard form is ax + by + c = 0