Which of the following are advantages of marginal costing : (1) Pricing decision (2) True profit (3) Difficulty to classify (4) Ignores time value (5) Break-even analysis (6) Contribution is not final (7) Control over ex

CS Executive · Cost and Management Accounting · PYQS · December 2015
Which of the following are advantages of marginal costing : (1) Pricing decision (2) True profit (3) Difficulty to classify (4) Ignores time value (5) Break-even analysis (6) Contribution is not final (7) Control over expenditure Select the correct answer from the options given below —
(A) (1), (2), (5) and (7)
(B) (1), (3), (5) and (7)
(C) (3), (4), (6) and (7)
(D) (1), (2), (6) and (7).

Answer & Explanation:

Correct Answer: Option (A)

Official answer key: (A).

Topics: Marginal Costing

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