Best, Inc. produced 1,000 units of the company's product in 2024. The standard quantity of direct materials was three yards of cloth per unit at a standard cost of $1.40 per yard. The accounting records showed that 2,700 yards of cloth were used and the company paid $1.45 per yard. Standard time was two direct labor hours per unit at a standard rate of $14.50 per direct labor hour. Employees worked 1,600 hours and were paid $13.50 per hour. Read the requirements. Requirement 1. What are the benefits of setting cost standards? Standard costing helps managers do the following