Variable costing - Assignment Example

Only on StudentShare

Extract of sample
Variable costing

Despite the various methods of pricing a firm based on its industry should select the most effective method to the firm. Costing is the main function in every firm, the rational being every firm exists in its industry with the main aim as profit making. References 8 VARIABLE COSTING Executive summary This is a report about a review of marginal costing as used in the managerial accounting system. Certain terminologies associated with the concept of marginal costing are identified in the report. The report also defines logically certain terms like variable costs, fixed costs, CVP and breakeven analysis as the key concepts. It goes ahead to prove the rational and marginal costing concepts as used in short term decision making. Being a costing technique, several assumptions such as division of cost element into fixed costs and variable costs, variable cost being considered directly proportional to the production volume, fixed costs being constant throughout the production levels and is being shared according to the volume of production per unit, cost is only influenced by the volume output, and at all levels, the selling price would remain unchanged, are associated with it. ...Show more


Costing is one of the managerial accounting functions which needs a careful selection and evaluation of the effectiveness of every technique.Despite the various methods of pricing a firm based on its industry should select the most effective method to the firm…
Author : cruickshankkim
Save Your Time for More Important Things
Let us write a custom assignment on your topic
"Variable costing "
with a personal 20% discount.
Find out more

Related Essays

Relevance Lost: The Rise and Fall of Traditional Costing
The traditional costing system had been a very common cost accounting system used during the 19th century. This report discusses the rise and the common use of the traditional costing system within many different manufacturing organizations.
10 pages (2500 words) Essay
Traditional Absorption Costing versus Activity Based Costing.
The allocation of overheads has always been a matter of concern in manufacturing businesses especially in recent times. The method used in allocating overheads plays a role in the determination of the comparability of the costs of doing business vis-à-vis the cost to competitors.
12 pages (3000 words) Assignment
Full Costing and Variable Costing
Advantages and Disadvantages of Absorption Costing System. [online] Available at < > [Accessed 25 December 2011] 12 Charles T. Horngren, Srikant M. Datar, George Foster, 2007.
8 pages (2000 words) Essay
Contrast and Compare Absorption Costing with Marginal Costing
11 Conclusion 12 References 12 Introduction In today’s complex business environment, the management not only requires day-to-day and accurate information about the costs incurred in the business functioning, but also needs to understand which specific costing method will be more suitable to the financial system it follows.
8 pages (2000 words) Essay
Product Costing.
..6 Weaknesses and strengths…………………………......7 Absorption costing in the public sector………………...8 Conclusion ……………………………………………..9 List of references……………………………………….10 Essentially absorption costing refers to the means through which all the manufacturing costs are engrossed by units produced.
7 pages (1750 words) Essay
Variable Costing
The total variable cost normally changes as the activity level changes, while per unit, the variable cost per unit will normally remain the equal over a wider range of activity. Fixed cost will always remain the same when the activity level changes while fixed cost per unit decreases with an increase in the activity level (Hansen, et, al 2006) Mixed cost, have both the component of variable and fixed costs.
5 pages (1250 words) Essay
Carry out your own research to find a non-financial firm that changed its dividend policy over the last few years. Assess the (p
This means that the primary role of such a policy is to determine the proportion of the company’s funds, which should be paid to the shareholders and what should be set aside for investment in new opportunities. In order to determine this policy, managers of firms must consider the options that would lead to optimisation of the shareholders’ wealth.
14 pages (3500 words) Essay
impairments of intangible (including goodwill).
The magnitude of differences is the also vary from small to large (Grant Thornton). Some of the major differences are discussed in this section. First, the difference between the IFRS and GAAP principles lie in methodology used in the determination of the impairment of long lived assets.
4 pages (1000 words) Research Paper
Process Costing
The author of this research paper evaluated a number of research works pertaining to process costing and its different fields of study. As the author has a keen interest in costing of the products and their designing and manufacturing processes, the evaluation of previous literature is helpful in identifying areas of further study.
7 pages (1750 words) Essay
Find out how much would it cost
to get a custom paper written by a pro under your requirements!
Win a special DISCOUNT!
Put in your e-mail and click the button with your lucky finger
Your email