Which of the Following Statements Is Correct

Multiple Choice

Which of the following statements is correct?

A) Standard costs are the costs necessary to produce an average or standard product.
B) Standard costs can serve as benchmarks against which budgeted performance is measured.
C) The limitation of actual costs is that they represent what happened not necessarily what should have happened.
D) Standard costs can only be used for analytical purposes and can never be incorporated into the formal accounting system.