What is Absorption Costing?
1 Replies
Vinay Raja
(student-IPCC)
(704 Points)
Replied 29 November 2010
Absorbtion costing is nothing but traditional costing,
where overheads are absorbed on appropriate basis.
This is an old technique, now this is replaced by Marginal costing in some areas, where we treat Fixed and variable overheads different.
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