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Marginal Costing!

  • 21-06-2010 11:07am
    #1
    Eire-Dearg
    Registered Users Posts: 8,900 ✭✭✭


    Just a quick question on marginal:

    I know how to get the first variable cost, but when (ie. what will the question ask) and how do you get the new variable cost?

    Thank you!


Comments

  • #2
    Eire-Dearg
    Registered Users Posts: 8,900 ✭✭✭Eire-Dearg


    Anyone?!

    :pac:


  • #3
    EuropeanSon
    Registered Users, Registered Users 2 Posts: 2,819 ✭✭✭EuropeanSon


    I'm not sure what you are asking. To get it you multiply the cost per unit by the number of units produced, except Commission which is different as it's a percentage of sales. Hope that helps, I'm not sure what you are asking.


  • #4
    Eire-Dearg
    Registered Users Posts: 8,900 ✭✭✭Eire-Dearg


    I can't figure when you need a new variable cost and when you can use the old one...

    And when I need the new one, I don't know how to get it... if you know what I mean...


  • #5
    EvilLlamaThingy
    Closed Accounts Posts: 72 ✭✭EvilLlamaThingy


    Variable cost (As in the small figure you multiply by, not the total variable cost) changes only whenever it specifically says that is changes, unless you lump commision in with variable cost (I usually do it kinda seperatly) Then it'll change if Sales price changes as well.

    I think that's what you meant? I could be wrong..


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