21 FORMAL ENTRY TENDS TO GIVE VARIANCES EVERY WORKSTATION IS ATTEMP...
10-21 Formal entry tends to give variances
every workstation is attempting to produce at
more emphasis than off-the-record computa-
capacity, then work in process inventory will
tions. And, the use of standard costs in the
build up in front of the workstations with the
journals simplifies the bookkeeping process by
least capacity.
allowing all inventories to be carried at standard,
rather than actual, cost.