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August 7, 2024

Standard Costs in Service Industries

How do you think the idea of standard costs (related to your major in bussiness administration) could be used in a service industry such as a hospital, clinic, law office, insurance company, IT department, non-profit, etc.? As a manager of one of these organizations what changes do you think you could make as a result of reviewing the variances we learned this week (materials, labor, overhead)? Be sure to provide specific, relevant examples of the use and analysis of the variance results.

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