Difference between actual costing and normal costing

by

Normal Costing:

Normal costing refers to a product costing system where actual direct material, actual direct labor and applied manufacturing overhead costs are added to work in process inventory.

Actual Costing:

Actuar costing system refers to a product costing system where actual direct material and actual direct labor and actual manufacturing overhead costs are added to work in process inventory.

Related posts:

  1. Actual Overhead Rate and Pre-determined Overhead Rate
  2. Normal and Abnormal Wastage
  3. Difference Between Process Costing and Job Costing
  4. Difference between Direct and Indirect Labor Cost
  5. Q. 1. What is Standard Costing? What are its features ? Discuss the essentials of an effective standard costing.
Also Check:  Job cost sheet

Leave a Comment