Direct Labor Variance Analysis
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Lessons List | 15 Lesson
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Course Description
Standard costing is the practice of estimating the expense of a production process. It's a branch of cost accounting that's used by a manufacturer, for example, to plan their costs for the coming year on various expenses such as direct material, direct labor or overhead.What is standard costing in business?
Standard costing is the practice of substituting an expected cost for an actual cost in the accounting records. ... Standard costing involves the creation of estimated (i.e., standard) costs for some or all activities within a company.What are types of standard costing?
There are different types of standards that can be set such as ideal, attainable, basic and current standards. The features of standard costing are related to the objectives of standard costing.
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