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| Teeny Toddlers is a 4-year old manufacturer of colorful, plastic toddler riding toys. To maintain competitive prices, control of costs is critical. Management has considered moving production overseas, but so far they are committed to remaining in the U.S. Management has decided to permit their employees to participate in setting up a new standard cost system. Management likely expects the new standard cost system, along with the employee input, to provide all of the following benefits except that A. Unfavorable variances are more likely to occur. B. Employees who participate in setting standards may be more efficient. C. Standard costs will help management in uncovering potential cost problems. D. Standard costing permits management by exception, which should save some time. |