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1,estimation is finding the cost before it has been actually manufactured. and costing is finding cost after manufacturing the product including the defect product cost.
2,estimation need high technical skills and knowledge hence its done by engineering department but costing need high accounting skills hence its usually done by Accountants or account departments
3,estimation foresee the probable cost and hence it can be used to decide whether one need to produce a particular product or not. or if its profitable or not
costing helps to understand to what extent the estimation holds good also when and where it fails
Maddison Thiel
Wiki User
∙ 11y ago1,estimation is finding the cost before it has been actually manufactured. and costing is finding cost after manufacturing the product including the defect product cost.
2,estimation need high technical skills and knowledge hence its done by engineering department but costing need high accounting skills hence its usually done by Accountants or account departments
3,estimation foresee the probable cost and hence it can be used to decide whether one need to produce a particular product or not. or if its profitable or not
costing helps to understand to what extent the estimation holds good also when and where it fails
TEJAS BHARRE
- Estimation is aimed to calculate the probable cost of the product before the
manufacturing starts, and while costing is the determination of actual cost of the
product by adding various elements of expenses incurred.
- Estimation requires a highly technical knowledge hence an estimator is basically
an engineer and costing requires the knowledge of accounts and therefore costing is
done by accountants.
- Estimation forecasts about the probable cost and hence one can know before the
manufacture that the manufacturing of the product shall be profitable or not, and
whether one should manufacture it or not, but costing tells after the manufacture
about the profitability of the product.
shreenidhi Bhat
Estimation may go wrong, But costing doesn't go wrong,
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What difference between cost and costing?
difference between cost and costing
Differences between conventional costing methodology and activity costing?
difference between conventional costing methodology ang activity costing
Difference between absorption costing AND target costing?
Target costing is when you have a goal for the project and its costs. Absorption costing is when you need to fix the excess spending.
What is the difference between Actual costing and normal costing?
actual costing uses actual indirect-cost rates normal costing uses budgeted indirect-cost rates
What is the main difference between activity based costing and attribute based costing?
activity based costing does not promote TQM(total quality management) and continuous improvement but attribute based costing promotes the both.
What difference between cost and costing?
difference between cost and costing
What is the difference between ratio estimation and regression estimation?
diferece between ratio and regression
Differences between conventional costing methodology and activity costing?
difference between conventional costing methodology ang activity costing
What is the difference between absorption costing and active base costing?
there is have some differeance . 1.
Difference between absorption costing AND target costing?
Target costing is when you have a goal for the project and its costs. Absorption costing is when you need to fix the excess spending.
What is the difference between an estimation and an approximation?
estimation is to think of an answer before measuring the quantity and approximation is to round off.
What is the difference between Actual costing and normal costing?
actual costing uses actual indirect-cost rates normal costing uses budgeted indirect-cost rates
What is difference between job costing contract costing?
job costing refers to very small work while contract costing refers to large work like building a bridge.
Difference between pre-feasibility and feasibility?
The most difference is on cost estimation. In PreFS, cost estimation is based on assumptions while cost estimation in FS is normally based on vendors' offers/proposals, at least for expensive price equipment/materials.
What is the main difference between activity based costing and attribute based costing?
activity based costing does not promote TQM(total quality management) and continuous improvement but attribute based costing promotes the both.
What is difference between measurement and estimation?
The difference between a measurement and an estimation is that a measurement is an exact data while an estimation is a guess as to what something may measure. For example, you can use a ruler to get the exact measurements of a piece of paper. However, if you don't have a ruler, you can make an educated guess as to what the paper's length and width measurements may be.
What is the difference between over costing under costing?
Over costing means charging more costs to items than it's actual cost while under costing means charging less cost then actual costs.
