Unit product cost to be determined under absorption and variable costing. The Income shall be computed under both the methods. The main difference between absorption costing and variable costing is that the fixed manufacturing overheads is taken while computing the unit product cost under absorption costing and only variable manufacturing cost is taken while computing the Unit product cost under Variable costing. The Unit product cost and Income under Absorption and Variable costing.

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Chapter 6, Problem 3AE

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Unit product cost to be determined under absorption and variable costing. The Income shall be computed under both the methods. The main difference between absorption costing and variable costing is that the fixed manufacturing overheads is taken while computing the unit product cost under absorption costing and only variable manufacturing cost is taken while computing the Unit product cost under Variable costing.

The Unit product cost and Income under Absorption and Variable costing.

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