Cost Management UNIT 8 ABSORPTION AND MARGINAL COSTING Objectives The aims of this unit are: • to familiarise you with the techniques of Absorption Costing and Marginal Costing • to ...
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...Cost management unit absorption and marginal costing objectives the aims of this are to familiarise you with techniques explain basic features in that process bring out explicitly differences between two develop an appreciation has edge over as far managerial decision making is concerned structure introduction segregation semi variable costs contribution break even analysis utility limitations summary key words self assessment questions exercises further readings preceding we familiarised different elements i e materials labour expenses these can broadly be put into categories fixed those which do not vary but remain constant within a given period time spite fluctuations production examples rent insurance charges salaries etc on other hand direct proportion any change volume output material wages category product or ascertained using by following technique also termed traditional full method according determined after considering both such directly charged products while apportioned su...