Ashford BUS 630 Week 4 DQ 2

Standard Cost System

Using Chapter 7 of your text as a reference, define a standard cost and explain what constitutes the components of a standard cost.  Describe the advantages and disadvantages of a standard cost system and explain under what circumstances a standard cost system is most effective. Your initial post should be 200-250 words.

Guided Response:
Review several of your classmates’ postings noting the similarities and differences in the effectiveness of a standard cost system.  Respond to at least two of your classmates by sharing your professional experiences with standard cost systems or an additional example of when a standard cost system is best utilized.  

Refrence:

Schneider (2012). Managerial accounting: Decision making for the service and manufacturing sectors. (2012). San Diego, CA: Bridgepoint Education.