which statements about marginal costing are


Which statements about marginal costing are correct?

1. The marginal cost of a product involves an allowance for fixed overheads.

2. The marginal cost of a product presents the additional cost of making one extra unit.

3. If inventory decreases throughout a period, the profits under absorption costing will be lower than under marginal costing.

A. 1 only 

B. 1, 2 and 3 

C. 2 only 

D. 2 and 3 only

Request for Solution File

Ask an Expert for Answer!!
Accounting Basics: which statements about marginal costing are
Reference No:- TGS0204106

Expected delivery within 24 Hours