如上所示，在计入存货的变动成本和固定间接成本各占10%的匀支成本情况下，损益表中不考虑，而在变动成本情况下，不论销售水平如何，均考虑固定间接成本。换句话说，在匀支费用的情况下库存为$45 000，在变动费用的情况下库存为$30 000。
There are two methodologies for treatment of fixed overhead costs. These two methods are absorption costing method and variable costing method. The method suggested by Maria Crane wherein fixed overhead cost is reported as cost of production is considered as absorption costing wherein manufacturing costs must go to inventory and be expensed only when sold. This can be explained with the help of example below:
A fictitious ‘NEPAL COMPANY’ is producing $750,000 of products at a cost of $450,000 of which $300,000 is the variable cost, while $150,000 is the fixed overhead cost and 10% is going into inventory. Based on this, the income statement based on absorption costing and variable costing has been shown below
As shown above, in case of absorption costing 10% of both variable costs as well as fixed overhead costd that are going into inventory, is not considered in the income statement, while in case of variable costing fixed overhead costing is considered irrespective of sales level. In other words, the inventory held in case of absorption costing will be $45,000 while in case of variable costing will be $30,000.
Thus, it can be said that manufacturing cost includes cost associated with direct material, labour and manufacturing overhead incurred. All these costs are recorded into the inventory account and become the expense when the finished goods are sold.