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Like product costs are not necessarily treated as expenses in the period in which they are incurred?
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What is marginal costing and direct costing?
Marginal costing is a technique of costing where the variable expenses are charged to a product. It ignores the fixed expenses incurred by the business in fixing the price of a product on the assumption that the fixed expenses are not incurred in producing an additional unit.They are treated as period costs& charged directly to P& L A/C.Marginal cost is the cost of producing an additional unit of product.It takes the direct expenses & the variable portion of the overhead expenditure. But Direct costing takes into account only the direct expenses like direct mterials, direct labour & direct expenditure for finding out the cost of a product.
Why is interest expense treated as non operating expense?
Interest expenses are not operating expenses because interest is normally a financing activity as finance is acquired to run business operating activity is to manufacture product for sale.
How are outstanding expenses treated in final accounts?
i don't no. please give answer.
What are costs that are treated as assets until the product is sold?
product costs
What happens when a capital expenditure is treated as a revenue expenditure?
Expenses are overstated and assets are overstated
What is marginal costing and direct costing?
Marginal costing is a technique of costing where the variable expenses are charged to a product. It ignores the fixed expenses incurred by the business in fixing the price of a product on the assumption that the fixed expenses are not incurred in producing an additional unit.They are treated as period costs& charged directly to P& L A/C.Marginal cost is the cost of producing an additional unit of product.It takes the direct expenses & the variable portion of the overhead expenditure. But Direct costing takes into account only the direct expenses like direct mterials, direct labour & direct expenditure for finding out the cost of a product.
Are selling and administrative expenses treated as product costs or as period costs under variable costing?
Period Costs.
Are selling and administrative expenses treated as product costs or period costs under variable costing?
Period Costs.
Why is interest expense treated as non operating expense?
Interest expenses are not operating expenses because interest is normally a financing activity as finance is acquired to run business operating activity is to manufacture product for sale.
Can expenditure incurred for defence of title of a capital asset be treated as capital expenditure?
Introduction expenditures
How are outstanding expenses treated in final accounts?
i don't no. please give answer.
What are costs that are treated as assets until the product is sold?
product costs
What happens when capital expenditure is treated as revenue expenditure?
Expenses are overstated and assets are overstated
What happens when a capital expenditure is treated as a revenue expenditure?
Expenses are overstated and assets are overstated
What happens when a capital expenditure is treated as revenue expenditure?
Expenses are overstated and assets are overstated
Is interest expenses an asset or a liability?
In accounting, interest and other expenses are neither; they are a contra-equity account. This means that as expenses increase, the owners have less equity. Expenses should normally be treated as a debit account, so as you record interest expenses, you should be crediting either an asset or a liability at the same time.
Costs that are treated as assets until the product is sold are called?
Costs that are treated as assets until the product is sold are called product costs. The costs are added to the inventory, and the expense is recognized when the inventory is purchased.
