Differential costing, Cost Accounting

Assignment Help:

DIFFERENTIAL COSTING

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.


Related Discussions:- Differential costing

Cost accounting, cost accounting as a descriptive/analytical discipline

cost accounting as a descriptive/analytical discipline

Calculate direct labour hour, Manson Manufacturing applies manufacturing ov...

Manson Manufacturing applies manufacturing overhead at a rate of $30 per direct labour hour a)when during the year was this rate computed b)Describe briefly how this rate was

Administration costs budget, Administration Costs Budget This represe...

Administration Costs Budget This represents the costs of all administration expenses. Every department or budget centre will be responsible for the preparation of its own bud

What is the total cost of the work in process, The Cutting Department of th...

The Cutting Department of the Rock Island Custom Cabinetry Corporation (a process costing production) had no work in process at the beginning of the period, 12,000 units were compl

Job order costing, cost accounting is said to three different phases ?? nam...

cost accounting is said to three different phases ?? name them.

Cash cycle, The Cash Cycle: so as to deal with the problem of cash managem...

The Cash Cycle: so as to deal with the problem of cash management we should have a concept about the flow of cash by a firm's accounts. The entire process of such cash flow is ide

Accounting for job order costing, Accounting for Job Order Costing ...

Accounting for Job Order Costing 1.  Direct Labor  Dr W.I.P. Control Account Cr Cash Account 2.  Accrued Direct Wages Dr W.I.P. Control Account Cr Wages

Specific oder costing, in what ways does specific order costing differ from...

in what ways does specific order costing differ from process costing

Prepare the consolidated balance sheet, H Bhd has a 75% holding in the ordi...

H Bhd has a 75% holding in the ordinary shares of S Sdn Bhd and 40% in A Sdn Bhd. Shares in S were acquired  in 2006 when its retained earnings were RM120 million.  The shares in A

Overheadd anarlysis, Following figures are taken from annual budget of ABC ...

Following figures are taken from annual budget of ABC manufacturers for the year 2013: Fixed factory overhead Rs. 4,000,000 Factory overhead absorption rate Rs. 70 per direct labor

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd