Friday 15 December 2017
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Marginal costing


CONCEPTUAL FRAMEWORK Variable costing is a costing method in which only variable costs are accumulated and cost per unit is ascertained only on the basis of variable costs. Prime costs and variable factory overheads are used to value inventories. Fixed costs tend to vary with time, such as salaries and rent, rather than level of output and variable costs tend to change in total with increase or decrease in the level of activity,

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