Great, Inc. produced 1,000 units of the company's product in 2024. The standard quantity of direct materials was three yards of eloch por unit at a standard cost of $1.30 per yard. The accountin records showed that 2,800 yards of cloth were used and the company paid $1.35 por yard. Standard time was two direct labor hours per unit at a standard rate of $12.50 per direct labor hour Employees worked 1,400 hours and were paid $11.00 per hour, Read the requirements: Requirement 1. What are the benefis of setung coat standarde? Standard costing helps managers do the following: Requirements 1. What are the benefits of setting cost standards? 2. Calculate the direct materials cost variance and the direct materials efficiency variance as well as the direct labor cost and efficiency variances. 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 Set sales prices of products and services Set target levels of performance for flexible budgets