Although there are many studies in the literature that explain modern costing approaches including activity-based costing (ABC), the number of studies that present real life applications is very few. This is especially true for logistics and transportation applications. One of the main difficulties in land transportation companies is to determine and evaluate true cost of their operations and s...

This paper examines the impact of variation in production volume on product cost, as estimated by three different costing systems. Production volumes were categorized as being small, medium or large. A Traditional (volume based) Cost Accounting System (TCA), an Activity-Based Costing System (ABC), and an Integrated Activity-Based Costing and Economic Value Added System (Integrated ABC-and-EVA) ...

To realize an effective cost control, a practical and accurate cost accounting system is indispensable in hospitals. In traditional cost accounting systems, the volume-based costing (VBC) is the most popular cost accounting method. In this method, the indirect costs are allocated to each cost object (services or units of a hospital) using a single indicator named a cost driver (e.g., Labor hour...

Activity-Based Costing (ABC) represents an alternative paradigm to traditional cost accounting system and it often provides more accurate cost information for decision making such as product pricing, product mix, and make-orbuy decisions. ABC models the causal relationships between products and the resources used in their production and traces the cost of products according to the activities th...

The survival and growth of the banking industry, on the one hand, requires the trust and satisfaction of individuals in the community, on the other hand, requires financial health. In this research, we seek to evaluate the impact of activity-based management on indices of banking health in the banking system of IR Iran. The activity-based management tools examined in this study are activity-bas...

5-1 Blue Ridge Manufacturing (Activity-Based Costing for Marketing Channels) 5-2 Columbo Soft-Serve Frozen Yogurt: Using Activity Based Costing To Assess Channel/Customer Profitability Required: 1. Briefly summarize Colombo’s competitive environment and General Mills’ strategy in response to that environment. 2. Using the ABC analysis, determine new segment profitability statements. 3. Based on...

The present study of 53 CFOs of corporate India captures the development in the cost management practices such as accounting for overheads, applications of budgetary control and standard costing. It addition to traditional cost management techniques it also deals with applications of contemporary management tools such as activity-based costing. The hypotheses in general deal with the difference...

In recent years, the application of Activity-Based Costing in Port industry has been deeply researched in theory and practice, but researchers only concentrate on the bulk and general cargo’s ABC in loading and unloading operations and there is little about the liquids and chemicals’. Based on the liquids and chemicals’ handling process and the particularity of their cost accounting, the paper ...

This study compares activity-based costing (ABC) model and traditional costing method in Malaysia. Activity based costing (ABC) which was developed into the manufacturing/service sectors in Malaysia. It calculates the cost and performance of activities, resources and cost objects. It can be considered as an alternative model to Traditional Cost-based accounting systems. In this study the result...

There is an urgent need to formalize Activity-Based Costing (ABC) for purposes of implementation and usage in enterprises so that enterprises have access to the critical element of global success, viz., strategic management accounting. To make this possible, the authors present a core cost ontology and micro-theory of costing for enterprise modelling that spans the knowledge representation of a...