Theory questions: 1. Which one of the following terms best describes the rate of output which qualified workers can hieve as an average over the working day or shift, without over-exertion, provided they adhere to the specified method of working and are well motivated in their work? A. Standard time B. Standard hours C. Standard unit D. Standard performance 2. The best characteristics of a standard cost system is A. standard can pinpoint responsibility and help motivation B. all variances from standard should be reviewed C. all significant unfavorable variances should be reviewed D. standard cost involves cost control which is cost reduction 3. Standard costs are used for all of the following except: A. income determination C. measuring efficiencies B. controlling costs D. forming a basis for price setting 4. Standard costs are least useful for A. Measuring production efficiency B. Simplifying costing procedures C. Job order production systems D. Determining minimum inventory levels 5. To which of the following is a standard cost nearly like? A. Estimated cost. B. Budgeted cost. C. Product cost. D. Period cost.