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Management Accounting

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Management Accounting
Management Accounting
Absorption vs Marginal Costing Report
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Absorption vs. Marginal Costing (Atmospheric Ltd) Contents Page No Memorandum 3 Marginal (Variable) Costing 4 Absorption Costing 7 Advantages and Disadvantages of: * Marginal Costing 10 * Absorption Costing 11 Numerical Examples 12 Reconciliation 16 Bibliography 17 Reflective Journal 18

Memorandum To: Finance Director From: Assistant Management Accountant Date: 28 November 2012 Subject: Marginal vs. Absorption Costing Enclosed are the research findings that you may use towards the presentation on the subject of marginal and variable costing. Should you require any other information that you need for the presentation please don’t hesitate to contact me on extension 2543. Many Thanks Sarah Jones S. Jones

Marginal (Variable) Costing



Bibliography: ACCA. (2010). Marginal and absorption costing. In: management accounting. Berkshire: Kaplan publishing ltd.172. Drury, C. (2004). Cost volume profit analysis. In: MANAGEMENT AND COSTING ACCOUNTING. 6th ed. London: Thomson Learning. 271. Proctor, R. (2006). Variable Costing and Breakeven analysis. In: Managerial accounting for Business Decision. 3rd ed. Essex: Prentice Hall. 108. Proctor, R. (2004). Capital Investment Appraisal for Long-Term Decisions. In: Managerial accounting for Business Decision. 3rd ed. Essex: Prentice Hall. 220 - 221.

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