Business, Management and Accounting
4 years ago

Boosting Company Profits: Activity-Based Costing System Reveals Accurate Production Costs

Journal of Applied Sciences Management and Engineering Technology
Literature Study : Activity-Based Costing System
Larashati B'tari Setyaning, Andriani Okta Fara Dita

Paper Summary

Related papers

Decision Sciences
3 years ago

Revolutionize Business Management with Advanced Cost Accounting Systems!

Theory of Constraints
Management Control
1 view
Business, Management and Accounting
8 years ago

Revolutionizing Cost Reduction: Integrated Management Accounting Unveils Strategic Control

Management Control
Decision Sciences
8 years ago

Traditional Cost Accounting Fails: Activity Based Costing Reveals True Product Costs

Theory of Constraints
Management Control
1 view

The article discusses how companies can stay competitive by using the Activity-Based Costing System (ABC) to calculate production costs more accurately. ABC breaks down costs into activities needed to make products, helping companies understand where resources are used. By implementing ABC, companies can increase profits by having a better grasp of production costs. Companies with diverse products and facing tough competition benefit the most from using ABC. The cost of implementing ABC is also relatively low.