What is one of the methods typically used for costing analysis in financial management?

Standard costing is a method used in financial management for costing analysis that involves assigning a predetermined cost to each unit of production. This approach helps management to establish benchmarks against which actual performance can be measured. By comparing actual costs with standard costs, businesses can identify variances and analyze the reasons behind them. This enables managers to make informed decisions regarding pricing, budgeting, and operational efficiencies.

Standard costing provides a systematic way to track costs, control expenses, and enhance planning processes. It aids in identifying areas where efficiencies can be improved or where cost overruns are occurring. This method is particularly useful in manufacturing settings where consistent production processes are present, as it allows for better predictability in financial outcomes.

Other options, while valuable in their own right, do not directly serve the purpose of costing analysis in the same systematic manner that standard costing does. Networking capital pertains to a company's liquidity and operational efficiency but does not delve into cost analysis itself. Market share analysis focuses on a company’s sales relative to competitors, and risk assessment tools are designed for evaluating potential risks and uncertainties rather than providing costing insights.