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Answered by: T.Prasad

• Aug 10th, 2006

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Marginal Cost is the cost with is incurred to produce one more extra unit.

Example to produce 100 units cost is Rs. 500/-

to produce the 101th unit the cost became Rs. 520/- (The cost to produce one more unit i.e, unit is Rs. 20/-)  The Rs. 20/- is called Marginal Cost.

ngodza22

 Profile Answers by ngodza22 Questions by ngodza22

• Jun 29th, 2008

It is a costing rule technique that excludes fixed cost from influencing decisions because they are said to be irrelevent cost.... simply because they are bound to be incurred even if a firm produce or doesn't produce eg rent,

andy

• Dec 26th, 2006

Marginal Cost is variable cost AS LONG AS your fixed assets can handle the output. If that additional unit forces you to acquire more assets to handle it, your marginal cost can be way out of line with your average variable cost.

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What is the difference between cost accounting and management account

ngodza22

 Profile Answers by ngodza22 Questions by ngodza22

• Jun 29th, 2008

Since fixed cost doesn't change whether you decide to produce or not to produce...eg rent, thus in marginal costing fixed cost element is removed so as to arrive at contribution... hence fixed cost is irrelevent cost in marginal costing

ngodza22

 Profile Answers by ngodza22 Questions by ngodza22

• Jun 29th, 2008

Cost accounting :is mainly concerned with data captive, recording, accumulation & interpretation of information cost of prodution so as enable management to focust & relevent decision.Manageme...

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johnsembee

 Profile Answers by johnsembee Questions by johnsembee

• May 29th, 2008

The derivative of total production costs with respect to the level of output is Marginal cost.The benefits you could have received by taking an alternative action is oppurtunity cost.

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ahmedali

 Profile Answers by ahmedali Questions by ahmedali

• Jun 23rd, 2008

What is limited liability clause complet detailes of this question

umairahmedpk

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• Jun 12th, 2008

Limited liability caluse is mentioned in memorendum of association. Under this clause, it is mentioned that the liability of the members of the company i.e share holders have liability upto their amou...

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What is the basis of Purchasing?

ahmedali

 Profile Answers by ahmedali Questions by ahmedali

• Jun 22nd, 2008

Details of purchasing

CK Wong

 Profile Answers by CK Wong Questions by CK Wong

• Jun 11th, 2008

Coming from a manufacturing environment, the key functions of purchasing are twofold - supply & cost:(1) Ensure production plans are always met - no downtime (of course no line down) because of&nb...

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sreekanthvsk

 Profile Answers by sreekanthvsk Questions by sreekanthvsk

• Jun 11th, 2008

Variable cost or Marginal cost is the cost that is directly proportionate to the number of units being produced (unit being a Tangible item produced or an Intangible service that is provided). It incr...

chowdary.thakkella

• Nov 27th, 2006

Variable costs are dependeing upon production. u re increases production automatically variable cost is also increased.decrease in production means automatically variable cost decreased. 

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johnsembee

 Profile Answers by johnsembee Questions by johnsembee

• May 29th, 2008

Statement showing changes in inflow & outflow of cash during the period is Cash Flow Statement.Statement showing the sorce & application of funds during the period is Fund Flow Statement.

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ch.v.rama krishna rao, chirala

• Nov 8th, 2007

Break Even Point is a point where there is no profit and no loss . It is very important for every company to take managerial decisions like how much quantity to be sold to gain desired profit, how many units to be sold to get the desired profit, to find margin of safety etc.,

vaishnavi

• Aug 24th, 2007

Break Even Point is the point where there is no Loss No Profit. The total revenues will be equal to total costs.

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EDURI PHANI PAVAN KUMAR

• Oct 18th, 2007

Margin of safety is the difference between Actual Sales and Sales at Break Even Point. The Higher is the margin of safety, the better is for the organisation.MARGIN OF SAFETY: ACTUAL SALES - BREAK EVEN SALES.MARGIN OF SAFETY: PROFIT /P/V RATIO.

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keshav

• Jul 5th, 2007

There nothing like support?cost. There 3 types of cost allocation1. reposting (pce)2. distribution (pce)3. assesment (pce&sce)

Jennifer

• Sep 20th, 2005

Headcount or number of pc's per cost centre.

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mamta kulshrestha

• Jun 14th, 2007

In this modern age of cut-throat?competetion?cost accounting for the product?is must to mininize cost of product and gettting maximum profit. If the producer does not maintain or minimize waste in the cost?he will be failer.

shashankcwa

• Feb 28th, 2007

"Cost Accounting" in simple meaning, costing of the product for the market. But in modern market (which is full of big competitors) launching any new product in the market, ha...

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Please give examples

Radha

• Apr 21st, 2007

The capital which is mentioned in the capital clause of the memorandum of assoiciation is called as authorised capital.For example if the capital requirement of the business in the long run is Rs. 10,...

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shaik. rafee

• Feb 26th, 2007

5 years

azeez

• Jan 9th, 2007

In a manufacturing company diffrent shops they will send docket for the no. of hours they are worked.   We feed the docket and have to prepare the labour cost ledger.  Material accounti...

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shaik. rafee

• Feb 26th, 2007

10 % per year

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Sarvottam Darshan

• Feb 21st, 2006

A process in the  industry where a wholesaler requests an amount that is the difference between the manufacturer's price to the wholesaler and the contract price to the resale customer. The actua...

jennifer

• Sep 20th, 2005

A recharge of costs

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bhaskar

• Oct 24th, 2005

The costs that are fixed irrespective of production are fixed costs. EX: Rent, Depreciation

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