IndigoLearn

Forums

Marginal Costing

In illustration 1(institute's textbook) why do we adjust the under or over absorption after the cost of goods sold ? And Also why is the selling fixed cost taken at the actuals ? (Just got confused with logics) Can u please clear the doubts w.r.t to the above two items in the absorption costing methods


Swathi Krishna

Swathi Krishna

CA Inter

7K+

04-Oct-20

66

Answers (4)

Which exact portion are you referring to?


Suraj Lakhotia

Suraj Lakhotia

Admin

04-Oct-20

In marginal costing The questions relating to the preparation of statements as per aborption costing and as per marginal costing In that chapter illustration 1


Thread Starter

Swathi Krishna

Swathi Krishna

CA Inter

7K+

05-Oct-20

Plzz reply


Thread Starter

Swathi Krishna

Swathi Krishna

CA Inter

7K+

09-Oct-20

1. That is as per absorption costing principles. 2. absorption is done only for production overheads.


Suraj Lakhotia

Suraj Lakhotia

Admin

11-Oct-20

Inter Testimonials
Testimonials CA Foundation July 21
Excel Launch
Study Planner
Business Law - CA Foundation
Fundamentals of Blockchain
Quote
Financial Modelling
Refer
EMI
Past_Exams
Tally + Excel Free
Tally Prime