What is Accounting price (standard price)?

A predetermined price at which materials are carried in day-to-day accounting instead of their actual cost: planned cost, average purchase price, wholesale price and others. It may be used when the range of materials is large, when internal movement is intensive, in agriculture and in other necessary cases; the difference from actual cost is accumulated in account 1610, and the purchasing process is reflected in account 1510 (NAS No. 21, paragraphs 88–89, 112–115).