The determined price at which the company expects to pay for every single unit is called ___________?

Correct answer: A. standard price

  • A. standard price
  • B. input price
  • C. actual input
  • D. output price

Explanation

The standard price is the predetermined price or rate the company expects to pay for one unit of an input. The actual input price is recorded after the purchase and may differ from this standard.

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About Cost Accounting

Cost accounting measures and analyses the cost of producing goods or providing services for planning, control and pricing decisions. It covers direct and indirect costs, fixed and variable costs, job and process costing, break-even analysis, marginal costing, overhead allocation, and the difference between product cost and period cost.

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