MA610 Activity 2 - Activity-Based Costing

MA610 Activity 2_06 Activity-Based Costing

Activity 2_06

Instructions

Activity-Based Costing (ABC) has been developed as a methodology for determining the cost of products and services. Activity-Based Management (ABM) has been developed as a basis for the use of financial information for managerial decision-making. This assignment introduced you to the basic concepts and applications of activity analysis and ABC. Utilize the knowledge base you gained from the Lecture and Research Update and your Required Readings to complete this activity.

Research at least two (2) articles that include a description of a company's design and implementation of an ABC system. Good sources include Strategic

Finance, Management Accounting Quarterly, and the Journal of Cost Management.

Then prepare a report on your findings. Your response should include the following.

1. Company Name

2. Company Industry

3. Description of the ABC Application

4. Assessment of the Benefits of the ABC System for the Company

5. Discussion of the Implementation of an ABC Project

Your Activity responses should be both grammatically and mechanically correct and formatted in the same fashion as the Activity itself. If there is a Part A, your response should identify a Part A, etc. In addition, you must appropriately cite all resources used in your response and document them in a bibliography using APA style. (100 points) (A 4-page response is required.)