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At the end of the fiscal year, variances from standard costs are usually transferred to the Group of answer choices factory overhead account direct labor account direct materials account cost of goods sold account

Respuesta :

Answer: Cost of goods sold account

Explanation:

When a company is operating a Standard Cost system, all their inventory accounts will be recorded at their standard costs.

The Variances that exist between the Standard and Actual costs will be recorded in the variance accounts as well as the manufacturing overhead account.

At the end of the fiscal year, the balances on these accounts are sent to the Cost of Goods sold account to reflect true cost.