FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Question One

  • Describe the following costing systems: Marginal and Absorption costing
  • Explains the effect on profit of using variable (marginal) and absorption costing.
  • Explain TWO advantages and TWO disadvantages of both marginal and absorption costing systems.
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Step 1: Introduction to the costing systems
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Step 2: Meaning of Marginal Costing and Absorption Costing
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Step 3: Effect of profit on the costing system - Marginal and Absorption Costing
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Step 4: Advantages and Disadvantages of Marginal And Absorption Costing System
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