Which of the following statements are correct regarding standard costing and its application in cost control?

  1. Standard costing involves setting predetermined costs for products and services.
  2. Variance analysis in standard costing helps in identifying deviations from standard costs.
  3. Standard costing is not suitable for service industries.

1
Only 1
2
Only 2
3
1 and 2
4
2 and 3
5
1, 2, and 3

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