Marginal vs Absorption Costing | Cost per unit | Profit / Loss | CMA | ACCA | Commerce Specialist |
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This video from Commerce Specialist explains What Is Marginal Costing, What is Absorption Costing, Difference between Marginal & Absorption Costing, Marginal v/s Absorption Costing, Cost per unit, Statement of Profit/Loss under Marginal Costing and Absorption Costing. Reconciliation of Profit/Loss. When Marginal Costing is used, When Absorption Costing is used etc.,
This tutorial/lecture video is very relevant and useful for students of, A Levels, BBA, MBA, CA, ACCA, ACCA F2, ACCA F5, CMA & CIMA.
About:
Commerce Specialist is a Certified Management Accountant (CMA) from USA, is a Fellow of member of HEA UK, holds Certification in International Auditing from ACCA-UK, member of IFA UK and IPA Australia, also holds a Bachelors in Accounting, A teaching qualification of B.Ed., an MBA in Finance along with over 20 years’ experience of working in various MNCs in different sectors including Banking, NBFIs, Retail, Oil & Gas, Telecommunication, and top business schools, colleges and universities.
website link: www.comparativeedge.com
Viewers and students can contact me on info@comparativeedge.com or email me at studyonline8888@gmail.com or whatsapp me on +923219213800.
#marginalvsabsorptioncosting #costing #absorptionvsmarginalcosting
Пікірлер: 177
I don't know why you make it look soooooo easy, its either you are gifted or highly gifted, maybe both of them☺. You are a life saver and God bless you.
@Kamwanganatasha
4 ай бұрын
❤
Truly, your explanation is attached to the real world situation by converting theory to practicality...GOD BLESS U.
@CommerceSpecialist
2 жыл бұрын
You are welcome dear.
Best explanation of AC & MC in least time. I could surely say this is the best video of the topic on youtube. Even my paid coaching teachers aren't able to explain in this seamless & easy manner.
@CommerceSpecialist
11 ай бұрын
Thanks my dear😊🙏👍
First explanation I've understood in 3 months of lessons 😅❤. Thank you sir
@CommerceSpecialist
5 ай бұрын
🙏😊👍
I love the way you make your teaching seamless, understandable and well presented.May the almighty God grant you good health to continue to serve us
@CommerceSpecialist
Жыл бұрын
Thanks a lot dear, sure.😊🙏👍
Where have you been whole my life? I have understood this lecture very well thank you very much. Oh plus you've gained a new subscriber ❤
@CommerceSpecialist
Жыл бұрын
Thanls dear Jay
Very well explained am doing ACCA and this topic is difficult for me to understand but you're explanation is clear please send more details on this topic
@CommerceSpecialist
Ай бұрын
Sure
@sandarudilhara712
22 күн бұрын
@@CommerceSpecialistSir, please share cost control lesson
Well explained am taking CPA
Thank you for the lecture. You made the topic interesting and easy to understand.
@CommerceSpecialist
2 жыл бұрын
You are welcome. Thx
Finally got it . Your explanation was very clear.
Thanks sir. I am not an accounting person but currently studying Management accounting and what you shared here shed some light. ❤
@CommerceSpecialist
2 ай бұрын
Thx a lot dear🙏👍
Sir, you made my day with this fabulous session, intrestingly may you are only who have covered this topic
I owe you a BIG thanks ..I totally understand this AC MC thanks to you! 🙏🏻
@user-rp3mt7ri5w
5 ай бұрын
Adding the comment ... I keep your video 'handy' during my exam prep! And it getting easier each time I watched your video! :)
THIS IS GREAT🙏🙏
Well explained Sir. Really helpful
Very informative video clearly explained 👏
Excellent explanation sir
Thank you so much 🙏
Your explantion made a huge diffrence in my performamce....thank you so much
@CommerceSpecialist
6 ай бұрын
Ur welcome dear👍🙏
Thank you so much,Well explained
Anytime I come to KZread to watch videos on financial reporting or cost and management, it's always the commerce specialist because he is good and can explain things to my satisfaction. His teachings have helped me a lot ❤. God bless u
@CommerceSpecialist
3 ай бұрын
Thanks a lot my dear😊🙏👍
You explained it so well💜thank you sir❤
You made it so easy I had marginal profit in my ma2 exam I didn't know how to solve it after so many practice it was because my concepts were not clear. I passed the exam anyways but want to improve my mistakes and You've helped me alot Thank you sir Love and support from pakistan 🇵🇰
@CommerceSpecialist
Ай бұрын
Thanks a lot dear🙏👍
Well explained sir 💐
I can't believe how well he explained each and every single step. I saw alot of lectures on this topic on KZread but this video lecture can't be compared woth other i would rate it 11 out of 10 . ❤
@CommerceSpecialist
3 ай бұрын
Thanks a lot my dear😊🙏👍
Great job 👍
What a great video 🫡🫡
Thank you teacher what a best explain to make
thank u sir.
Perfect!!!
Well explained....
Sir your explanation is truly good I already join cma classes, but I have to see your lects
GREAT ! You saved my live ! thanks
@CommerceSpecialist
3 ай бұрын
Ur welcome dear🙏👍
I love you all the way from South Africa
Well explained, thank you sir
@CommerceSpecialist
8 ай бұрын
Ur welcome rahema😊👍
Very brilliantly explained Sir love from Pakistan
@CommerceSpecialist
2 ай бұрын
Thx a lot dear👍🙏
very well explained sir, I am a BPP student but the way you explained this they could not. Thanks
@CommerceSpecialist
5 ай бұрын
Thx dear
Just wow thank you so much for breaking down this topic
@CommerceSpecialist
5 ай бұрын
🙏👍
Thankyou very much (easy explanation, easy understanding) GOD BLESS
@CommerceSpecialist
8 ай бұрын
🙏👍
woow, clearly explained. thank you
@CommerceSpecialist
2 жыл бұрын
You are welcome dear
I pray for your health and good life , you solved all my query regarding this topic. Thank you for your lecture.
@CommerceSpecialist
Жыл бұрын
Thanks a lot dear
Thank you so much Sir! You've explained it so well 😍
@CommerceSpecialist
10 ай бұрын
Ur welcome Maryam👍🙏
Thanks sir
Thank you soo much sir. Your explanation is truly genuine, OMG god bless you ya ♥🎇💎
@CommerceSpecialist
11 ай бұрын
Thanks a lot my dear😊🙏👍
You are the best
@CommerceSpecialist
Жыл бұрын
Thx dear
Sir your explanations are perfect.
@CommerceSpecialist
Жыл бұрын
Thanks Smith
Great lecture, lots of thanks!
@CommerceSpecialist
Жыл бұрын
Thx dear
Thank you sir for gave clear knowledge about marginal and absorption cost. Thank you very much😌
@CommerceSpecialist
3 ай бұрын
You are welcome dear🙏👍
wow! the best explanation ever 🙏
@CommerceSpecialist
Жыл бұрын
Thanks Sheema, u made my day👍🙏
Really. Very helpful. Thanks a lot.
@CommerceSpecialist
Жыл бұрын
Thanks Ahmed
Thank You Sir ❤
@CommerceSpecialist
6 ай бұрын
Ur welcome👍
you are my best online lecturer so far and GOD be with you the only problem i have is process account, i would love to watch your lecture under process account
@CommerceSpecialist
5 ай бұрын
There are two videos on process account already on my channel dear
I can't believe it so so easy thank you very much sir for the teaching may God continue to bless you and give you more strength for your grate job ❤❤❤❤
@CommerceSpecialist
6 ай бұрын
You are welcome dear, thanks a lot🙏😊👍
Very simple way to teaching..
@CommerceSpecialist
Жыл бұрын
Thx dear
You gained a new subscriber ,very amazing teaching.💐
@CommerceSpecialist
Жыл бұрын
🙏👍
I'm from ca sri lanka sir..it was really helpful for my costing part..I have learnt many subtleties from this lesson..pls upload continuoesly regarding costing topics sir..❤Thank you so so much ..
@CommerceSpecialist
4 ай бұрын
Ur welcome dear, good luck in your studies.
How are you sir, your teaching style is very impressive. I remembered you teached me in MBA program at PIMSAT in year 2009......
@CommerceSpecialist
Жыл бұрын
Thats good memory dear👍
Best lecturer ever
@CommerceSpecialist
Жыл бұрын
Thx dear Derick
You truly brilliant sir❤❤
@CommerceSpecialist
11 ай бұрын
Thanks a lot dear🙏👍
Thank you sir you have really helped me but i have a question what do you do if you have two fixed production overheads in the question.
Very well explained
@CommerceSpecialist
11 ай бұрын
Thanks a lot Rahul
Good explanation..
@CommerceSpecialist
2 жыл бұрын
Thx dear
You're awesome
@CommerceSpecialist
Ай бұрын
Thx dear
very well explained ❤
@CommerceSpecialist
Жыл бұрын
Thanks Uzair
Always fulfilling Thank you very much sir. Please Can you help make or post lectures on throughput accounting if it's available already Please Thank you sir.
It's a great resource for ACCA F5 students and your explanations with examples are quite easy to understand. Sir can you create a playlist for F5. Thank you sir for such amazing explanations.
@CommerceSpecialist
8 ай бұрын
Sure
god bless you
@CommerceSpecialist
5 ай бұрын
Thanks a lot🙏👍
I love you
amazingggggg 👏🏻👏🏻👏🏻👏🏻👏🏻
@CommerceSpecialist
Жыл бұрын
Thanks dear😊🙏
Good explanation sir
@CommerceSpecialist
2 жыл бұрын
Thx
Great explanation... Thanks u very much..
@CommerceSpecialist
2 жыл бұрын
Ur welcome
@shalinicalingen9875
2 жыл бұрын
@@CommerceSpecialist do u have guideline on labour cost & how to calculate incentive bonus. Thanks
@CommerceSpecialist
2 жыл бұрын
Yes
Love this explanation, it’s gonna help me so much. Can I have some help with step down apportionment and reciprocal apportionment?
@CommerceSpecialist
Жыл бұрын
Thanks dear, there is a video on all three methods of apportionment, pls check video on overheads👍
Good explanation sir ❤ One question please If the production units are given for only one month or 1 quarter ,how is the over /under absorption calculated, when the activity units is on annual basis Also if an opening balance is given,does that mean we add the amount to the production cost before calculating the closing stock? Will be happy for a reply sir
sir we always add under absorbed overheads, but u subtracting them?
Sir agar hamare pass opening stock mai kuch balance hai mean 1000 is opn /stk so usko total per unit se multiply karengay start mai Marginal & absorption costing mai both ... Plssss
Superb
@CommerceSpecialist
2 жыл бұрын
Thx dear
Sir if opening stock is there we should add write but u are less
👍👍👍
Hello sir in situations we're opening stock is given in units what do you do about it so you multiply it with the selling price or something else?
@CommerceSpecialist
Жыл бұрын
Multiply by cost per unit
Sir can you please make video on total quality management and throughput costing concept
@CommerceSpecialist
4 ай бұрын
Sure
Wow 😱 So simplified. Thanks for the lecture How can I get the lecture with Multiple Limiting factors?
@CommerceSpecialist
Жыл бұрын
Dear that is covered in Linear Programming
Good day Sir, should I have a veriable selling and administration cost do I add the units of veriable selling and administration to calcute for production cost? & Should I have fixed selling and administration do I also add it in the income statement under less fixed cost?
@CommerceSpecialist
8 ай бұрын
Variable selling n admin costs are not part of cost per unit. All fixed costs are subtracted after Contribution Margin
@xolisagongota4456
8 ай бұрын
@@CommerceSpecialist Thank you Sir, though the practical paper is still difficult for me to comprehend and soon I am writing is there no way I can contact you whether through email or phone so you can assist me please? I've been stuck on this. I will send you an attachment.
Sir if there are any variable selling n distribution cost and Administration cost how can we calculate them? Before contribution or after?
@learnandearnfinance
9 ай бұрын
Selling and administration cost has nothing to do with marginal or absorption cost. These both method only differentiate in Production Over head cost (Fixed Production Over head cost and Variable Production Over head cost)
Sir i have a question. If there any under absorbtion should we adding to the gross profit. Over absorbtion should less from the profit i think. Can you explain it?
@CommerceSpecialist
Жыл бұрын
Over absorption is added to profit n underabsorption is subtracted
Sir please make more Videos on ACCA F2 PAPER
@CommerceSpecialist
Жыл бұрын
There are many dear, just write the name of topic with Commerce Specialist
Sir if there is opening stock how it will be claculated
@CommerceSpecialist
Жыл бұрын
Give opposite treatment as compared to closing stock
Hi! I don't have in my exercise capacity production, i have only production which is 45,000. how can i calculate if is under or over absorbed? Thanks.
@CommerceSpecialist
3 ай бұрын
Take production as capacity
If you have two months: Jan. Feb. Production. 6000. 5000 Sales. 4000. 6000. How to calculate the closing inventory in both
Sir if there is no capacity how we can fint fixed production overhead per unit
@CommerceSpecialist
3 ай бұрын
Ues production as capacity
WHAT WILL BE THE OPENING STOCK AND CLOSING STOCK FOR THE QUESTION BELOW? PLEASE HELP Lubasi Ltd makes and sells product A. Below is the cost card for each unit of product A. K Direct materials 24.00 Direct labour 15.00 Variable production overhead 6.00 Fixed production overhead 15.00 Total cost 60.00 Profit 45.00 Selling price 105.00 The fixed production overhead figure has been calculated on the basis of a budgeted normal output of 24,000 units per annum. Fixed sales and administration costs are estimated at K72,000 per annum. You may assume that all budgeted fixed expenses are incurred evenly over the year. The sales price is K105.00 and the actual number of units produced and sold was as follows: January February March Production units 2,000 2,500. 2,200 Sales units 2,500 2,500. 2,000 Required: (a) Prepare a profit statement for each of the months January, February and March using absorption costing.
Sir, how to calculate Sales in my situation , Because we sell windows For Example Sales person 1 - Selling 1 window in 300 riyal and Sales person 2 selling in 380 riyal it depends up the closing the deals with client how to determine this, we are selling in “n” value please help me sir.
I need the full resource materials if possible...how do I access them...thank you
@CommerceSpecialist
10 ай бұрын
Which materials dear
@user-mu2uu6nl4v
10 ай бұрын
@@CommerceSpecialist .a soft copy of what you are using particularly questions and answers
We don't have to deduct income tax expenses to arrive at Net profit?
@CommerceSpecialist
2 жыл бұрын
Yes if given in question
My question is how the over and under absorption is calculated
@gurjotkaur1999
4 ай бұрын
Under absorbed = (capacity of production - units produced) × Fixed production overhead cost Over absorbed = (units produced - capacity of production) × Fixed production overhead cost
@CommerceSpecialist
4 ай бұрын
Watch my video on the same topic pls
What causes marginal profit high as compare to absorption profit Fixed overheads over absorbed ( true or false) Sir kia yeh true hogi?
@CommerceSpecialist
10 ай бұрын
If selling price is high and vc is less, then marginal costing will gv high profit since fixed cost remains constant
If you are given only variable cost but you are not given variable cost per unit. How to determine it
@CommerceSpecialist
4 ай бұрын
Divide by production in units
Why are you considering fixed cost on marginal cost?
@CommerceSpecialist
Жыл бұрын
Thats deducted to calculate profit, but fixed cost is not included to calculate cost per unit
so smart but poor handwriting please keep it up but improve your handwriting.
@CommerceSpecialist
2 ай бұрын
Thanks😂👍
can i get your number?
@CommerceSpecialist
Жыл бұрын
At the end of my video
@umerbutt_jannatmirza
Жыл бұрын
@@CommerceSpecialist reply nahi krta koi naaa he call receive krta h koi
@CommerceSpecialist
Жыл бұрын
My dear, sometimes im in class, thats why, 🙏
Excellent explanation sir
@CommerceSpecialist
Жыл бұрын
Thx dear