When standard costs are used in a cost accounting system: O Cost variances are shown in the year-end balance sheet as assets. f favorable, or as liabilities. if unfavorable. O A favorable cost variance results when standard amounts are less than actual costs. O Costs charged to the Work in Process Inventory. Finished Goods Inventory, and Cost of Goods Sold accounts are actual costs O Costs charged to the Work in Process Inventory, Finished Goods Inventory, and Cost of Goods Sold accounts are at standard costs