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sir , is there any difference between a standard cost card and unit cost? I thought it is one and the same thing,I had anticipated that a standard cost card is a list of the unit cost only to be proven wrong in the following question.
A standard cost card shows the unit cost details only of each product. True / False
I had selected True but the answer is false and l do not understand why.
kindly help
The standard cost card is indeed a list of the costs for the product. However, it does not show just the unit costs, but also the breakdown.
E.g. the standard cost per unit of materials will be shown as the standard kg per unit multiplied by the standard material cost per kg..
The standard cost per unit for labour will be shown as the standard labour hours per unit multiplied by the standard labour rate per hour.
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