Some of the most popular costing techniques are as follows:- 1. Historical Costing 2. Uniform Costing 3. Marginal Costing 4. Absorption Costing 5. Direct Costing 6. Incremental Costing and 7. Standard Costing (i) Historical Costing: As the name suggests, under this method first the expenditure is incurred and then it is recorded and accounted for calculating cost of production per [...]
Process Costing method applies to those industries, where the material has to pass through many processes for converting it into a finished product. This method is used in chemical products, oils, varnishes, soap, paints etc. Process Costing is another method of Costing employed for ascertaining the costs of goods and services of Processing Industries. This method can be applied in [...]
Contract costing is an extension of job costing system. It follows the same principles as job costing. In contract costing, a separate account is opened for each contract. All cost relating to such contract is debited to the Contract Account. Contract costing is the costing for big size jobs which are normally called contracts. The basic difference between contract and [...]