Question

Diff between absorption costing and marginal costing

Answer 1

Marginal costing refers to the technique of costing of product with costs that are incurred in direct variance with volume of a product while absorption costing refers to the technique of costing the product with all costs associated with a product that are absorbed by the product through appropriate basis of ascertainment of such costs associated with the product, irrespective of whether thay are variable or fixed costs.