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Marginal costing is often confused with differential costing. The word 'DIFFERENTIAL COSTING' means 'a technique used in the preparation of adhoc information where only cost and income differences between alternate courses of action are taken into consideration'. Therefore, while decision making; only an option with overall gain are selected. The term 'differential cost' means the gross increase or decrease in total costs resulting from a difference in production. The differential cost is known as 'incremental cost' while the cost increases and 'decremental cost' while the cost decreases.
explain the different methods of costing
concept of cost accounting in an enterprise
The following standard costs were developed for one of the products of Ferrars Company: Standard Cost Card Per Unit Materials: 4 feet x $14.25 per foot $ 57.00 Direct labor: 8 hour
An analysis of the fluctuations of current assets and current liabilities that is working capital describes that how the working capital has decreased or increased. We want to iden
I''m about to take my first cost accounting class in college, Do i need algebra skills to do well on this class
West Industries is a highly decentralized corporation with independent operating divisions. Each division is evaluated and rewarded based on its total net income. One of the divisi
Semi Fixed Costs Are costs along with both a variable and fixed cost component? The fixed component is such portion that is constant irrespective of the level of activity. The
cost with respect to accounting period
Controllable and Non Controllable Costs Controllable costs can be influenced on the level of authority at that they are being analyzed when non-controllable costs cannot.
what is the meaning of classification of cost in relation to variability?
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