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Differentiate between Marginal Costing and Variable Costing.

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Question ajoutée par Utilisateur supprimé
Date de publication: 2014/08/19
Md. Moshiur Rahman Sumon
par Md. Moshiur Rahman Sumon , Assistant General Manager( Corporate Finance & Head of Internal Audit) , Progressive Life Insurance Company Limited

Marginal Costing: Marginal Costing  consist of variable costs  and Fixed costs . Total of variable costs of a unit is called marginal cost. Marginal costing is vary useful for managerial decision ,particularly in times of acute competition  while taking make or buy decision .

 

Variable Costing: The costs which consists of prime and variable overhead is called variable costing. These cost vary proportionately with output. 

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