Lynx Corp. manufactures windows and doors. Lynx has been using a standard cost system that bases cost and efficiency standards on Lynxs historical long-run average performance. Suppose Lynxs controller has engaged your team of management consultants to advise him or her whether Lynx should use some basis other than historical performance for setting standards.

There are many approaches to setting standards other than simply using long-run average historical costs and quantities.

List three alternative approaches that Lynx could use to set standards, and explain how Lynx could implement each alternative.