The process of using standard costs to evaluate labor use and labor rate to determine why the actual is different from the predicted is called Variance Analysis.

Here are the steps:

1. Identify the Standard Cost: This is the cost that is expected to be incurred under normal conditions. It is usually determined by management or cost accountants.

2. Calculate the Actual Cost: This is the cost that was actually incurred. It is determined by adding up all the costs associated with labor, including wages, benefits, and any other costs.

3. Calculate the Variance: Subtract the standard cost from the actual cost. If the result is positive, it means that the actual cost was

Question

The process of using standard costs to evaluate labor use and labor rate to determine why the actual is different from the predicted is called Variance Analysis.

Here are the steps:

1. Identify the Standard Cost: This is the cost that is expected to be incurred under normal conditions. It is usually determined by management or cost accountants.

2. Calculate the Actual Cost: This is the cost that was actually incurred. It is determined by adding up all the costs associated with labor, including wages, benefits, and any other costs.

3. Calculate the Variance: Subtract the standard cost from the actual cost. If the result is positive, it means that the actual cost was

Knowee AI · Accepted Answer

The process of using standard costs to evaluate labor use and labor rate to determine why the actual is different from the predicted is called Variance Analysis.

Here are the steps:

1. Identify the Standard Cost: This is the cost that is expected to be incurred under normal conditions. It is usually determined by management or cost accountants.

2. Calculate the Actual Cost: This is the cost that was actually incurred. It is determined by adding up all the costs associated with labor, including wages, benefits, and any other costs.

3. Calculate the Variance: Subtract the standard cost from the actual cost. If the result is positive, it means that the actual cost was

Using standard costs, evaluating the labor use and labor rate to determine why the actual is different from the predicted is called

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Using standard costs, evaluating the labor use and labor rate to determine why the actual is different from the predicted is called

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