Positive od standard costing :-
- Cost control - Controlling cost and avoiding unnecessary cost
is the primary practice in standard costing.
- Fixing Responsibility - Analysing variances help to fix the
responsibilities of respective manager.
Negative of standard costing :-
- Standard setting - Setting of standard is very complicated and
requires a high level of technicalities.
- Dynamic conditions - Business conditions kept on changing, So
the standard also needs to be updated regularly.