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Accounting for Manager

Assignment B Case Study


Question 2: Please advise the company in reviewing the standards.
Answer: The labor standard recommended by the consulting firm should not be used as a
motivational device as it is having a negative impact.
The cost standard used for reporting had a positive or neutral impact for greater part of the
period and a negative impact for two months. Therefore the company should try and adopt
labor standards similar to those ones.

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