Summer Diaz has just assumed the duties of controller for Market Research Company. She is concerned that the company’s methods of cost planning and control do not accurately track the operations of the business. She plants to suggest to the company’s president, Sydney Tyson, that the company start using standard costing for budgeting and cost control. The new method could be incorporated into the existing accounting system. The anticipated cost of adopting it and training managers is around $7,500. Prepare a memo from Summer Diaz to Sydney Tyson that defines standard costing and outlines its uses and benefits.