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What is Marginal Costing?

1. What is Marginal Costing?

  1. Method, where the variable costs are considered as the product cost and the fixed costs, are considered as the costs of the period
  2. The method considers both fixed costs and variable costs as product costs.
  3. Difference between selling price & variable cost
  4. Difference between selling price & fixed cost

Answer: A) Method, where the variable costs are considered as the product cost and the fixed costs, are considered as the costs of the period

Explanation:

Marginal costing is a technique where the variable expenses are considered as the item cost, and the proper expenses are considered as the expenses of the period.

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