CH MG QUIZ Question 3, EM6-18 (book/static) HW Score: 0% 0 of 14 O Points: 04 Save Muny, Inc produced 1,000 units of the company's product is 2024 the standard quantity of direct matinals was the yards of cloth par ust at a standed cost of $1.36 per yard. The accounting cords shound that 2,500 youth of cloths were used and the company paid $1 40 por yand. Standard time was two dect labor hours per unit at a standard ate of $12.00 per direct labor hour Employees wered 1,700 hours and were paid $10.50 per hour Read the ou Requirement 1. What are the benefits of setting cost stand Standard coeting helps managers do the fing Requirements 1. What are the benefits of setting cost and 2. Calculate the duct matenas cost variance and the drect matas eftcncy varance as we as the direct labor cost and efficiency vana Princ Done Requirement 1. What are the benefits of setting cost standards? Standard costing helps managers do the following: Create new products Decrease accounting costs Develop more efficient production methods Identify performance standards Increase production levels Increase sales volume Prepare the master budget