Asked by Autumn Lewis on Apr 30, 2024

verifed

Verified

Accounting systems that use standards for product costs are called budgeted cost systems.

Budgeted Cost Systems

Accounting methods that use budgets to project costs and revenues, helping companies plan for future operations and financial performance.

Product Costs

The three components of manufacturing cost: direct materials, direct labor, and factory overhead costs.

  • Understand the concept and application of standard cost systems in accounting.
verifed

Verified Answer

ZK
Zybrea KnightMay 06, 2024
Final Answer :
False
Explanation :
Budgeted cost systems refer to systems that use estimates or projections for costs rather than actual costs. Standards, on the other hand, represent predetermined levels of costs, and are used in standard cost accounting systems.