cost standards

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Hello!

I have a question regarding cost standards:

"Which of the following is not true regarding the setting of cost standards:

1 - the level of production place an important role in determening the cost standards
2- cost standards should correspond to managers expectations under ideal conditions
3 - different firms and industries determing cost standards differently
4 - cost standards need to be periodically reviewed and revised."

Could you guys please explain why as well!
 

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