Differentiate between Marginal Costing and Variable Costing.

Marginal Costing: Marginal Costing  consist of variable costs  and Fixed costs . Total of variable costs of a unit is called marginal cost. Marginal costing is vary useful for managerial decision ,particularly in times of acute competition  while taking make or buy decision .

Variable Costing: The costs which consists of prime and variable overhead is called variable costing. These cost vary proportionately with output.