Archive | Marginal Costing

Top 5 Applications of Marginal Costing | Cost Accounting

The following points highlight the top five applications of marginal costing. The applications are: 1. Key or Limiting Factor Analysis 2. Make or Buy Decisions 3. Discontinuance and Diversification of Product 4. Accept or Reject New Order and Sub-Contracting 5. Temporary Cessation or Close-Down of Operations. Application # 1. Key or Limiting Factor Analysis: Marginal […]

Marginal Costing: Meaning and Features | Cost Accounting

In this article we will discuss about:- 1. Meaning of Marginal Costing 2. Contribution of Marginal Costing 3. Features of Marginal Costing 4. Arguments in Favour of Marginal Costing 5. Criticism against Marginal Costing 6. Absorption Costing and Marginal Costing: Impact on Profit. Meaning of Marginal Costing: Marginal costing is a principle whereby variable costs […]

Marginal Costing: Meaning, Characteristics and Assumptions

After reading this article you will learn about Marginal Costing:- 1. Meaning of Marginal Costing 2. Basic Characteristics of Marginal Costing 3. Assumptions 4. Advantages 5. Limitations. Concept: Meaning of Marginal Costing Basic Characteristics of Marginal Costing Assumptions of Marginal Costing Advantages of Marginal Costing Limitations of Marginal Costing 1. Meaning of Marginal Costing: The […]

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