Chapter 10, Problem 10.3MBA

To determine

Concept introduction:

Actual Cost:

The cost which is incurred in actual for the procurement or production of any product and other costs for the same is referred as actual cost.

Estimated Cost:

The cost which is estimated by making a budget taking into other consideration and past experiences for the production and other costs to the product is referred as estimated cost.

The difference between the actual cost and the estimated cost by analyzing the data from $\text{P}10-3$