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Cost Accounting – Standard Costing
Planned cost is a key for effective cost control which is not provided by historical…
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Advantages of Marginal Costing
The advantages of marginal costing are as follows: ● Easy to operate and simple to understand.…
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Income Statement under Marginal Costing
Income StatementFor the year ended 31-03-2014ParticularsAmountTotalSales 25,00,000Less: Variable Cost: Cost of goods manufactured12,00,000 Variable Selling Expenses3,00,000 Variable Administration Expenses50,000 15,50,000 Contribution 9,50,000Less: Fixed Cost: Fixed…
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Ascertainment of Profit under Marginal Cost
‘Contribution’ is a fund that is equal to the selling price of a product less…
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Features of Marginal Costing
Features of marginal costing are as follows: ● Marginal costing is used to know the impact…
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Need for Marginal Costing
Let us see why marginal costing is required: ● Variable cost per unit remains constant; any…
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Cost Accounting – Marginal Costing
Marginal cost is the change in the total cost when the quantity produced is incremented…
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Cash Budget
Cash budget comes under the category of financial budget. It is prepared to calculate budgeted…
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Flexible Budget
Flexible budget provides logical comparison. The actual cost at the actual activity is compared with…
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Flexible Budget Vs. Fixed Budget
PointsFlexible BudgetFixed BudgetFlexibilityDue to its nature of flexibility, it may be quickly re-organized according to…