Cornerstones of Managerial Accounting 4th Edition by Maryanne Mowen, Don Hansen, Dan Heitger

Exercise 62

Historical experience should be used with caution in setting standards because
A) they may perpetuate operating inefficiencies.
B) ideal standards are always better than historical standards.
C) they may not be achievable by operating personnel.
D) most companies keep poor records.
E) of none of the above.