Activity-based costing Essays

First we will talk about activity based costing and we will start by giving the definition of it ; Activity based costing means refining the costing system by concentrating on individual activities as essential or primary cost object or tool . ABC system has a lot of benefits and we will discuss them now, ABC helps in understanding overhead much better and the percentage of prim cost and overhead is the same in both ABC and traditional system; but what gives advantage of ABC over traditional is by

The Activity Based Costing is a costing model developed by professors Robert Kaplan and Robin Cooper of Harvard University in late 1980's as an alternative to the traditional costing system. Traditionally, the costs were assigned based on the volume of a cost driver, such as the amount of hours needed to produce an item. But this model did not allow to precisely assigning indirect costs. Changes in the economic world had important impact on the cost structure: the shorter life cycle of the products

Job Order Costing “Costing is an accounting technique used to determine the exact expenses for materials, labor and overhead incurred in operations” (D. Ingram). Job order cost method is a method of costing used when the products are made based on specific customer orders. Job order costing records the actual materials and labor expenses for specific jobs, and assigns overhead to jobs at a pre-determined rate. Different costing methods have each their own strength and weaknesses that make them best

record numbers, the flow controllers, which controlled the rate and direction flow of chemicals, could increase its prices without significant loss or any competitive response. Wilkerson, his controller, and manufacturing manager developed an activity-based cost model (ABC) to better comprehend the various demands that each product line makes on the organization 's indirect and support resources. Exhibit 1 showed us our operating results, Exhibit 2 showed us our product profitability analysis, Exhibit

allocated to a particular department. Activity-based costing (ABC) method was created in 1980s. It uses several cost pools, organized by activity, to allocate overhead costs in contrast to previously popular models of allocation of overhead, e.g. plant wide allocation uses one cost pool for the whole plant, and department allocation uses one cost pool for each department (K.Heisenberg, J.B.Hoyle, n.d.). Let’s have a look at five basic steps used in activity-based costing:

Introduction Professional accountants have a key role in keeping, auditing and inspecting the financial records of individuals or business concerned and preparing the financial and tax reports. It has a unique characteristic which includes the public interest. Whilst acting in the public interest, a professional accountant has certain rules or code to act in accordance with. Ethical behavior is inherent in the practice of accounting due to responsibilities the profession has toward serving clients

figure out the estimated variable cost per cost-driver unit or fixed cost period. The account analysis approach requires four steps: Step 1: Look through the costs that are included in a particular account and classify each amount as variable or fixed based on judgment. Step 2: Total the variable costs. Determine variable costs per unit by dividing the total of all the variable costs you identified by the number of units produced (or sold). This will give you the cost per unit. Variable cost per unit=Total

provide two examples when they differ. An explicit cost is the amount of expenses a business incurs when conducting an activity. This type of cost includes but not limited to salaries, materials, rent and utilities. (Explicit Cost, n.d.). An implicit cost is considered the opportunity cost of an activity. This is when the firm use its own resources to cover the expense of an activity. If the firm owns a building and use that building to conduct business rather than renting, it is a type of implicit

control of the products, reviewing the efficiency of the budget and the in-depth cost that is followed by the business. The report not only try to identifies the problem but also consults the business how to get rid of the problems by using product costing methods and how to acievev an effective and efficient

Activity#1: The Pros and Cons of Testing from Two Perspectives Standardized testing is advantageous in many ways. One of the most important benefits is that standardized testing holds teachers and schools responsible for teaching students what they should know, since the student’s achievements in these tests become public record and schools and teachers can come under scrutiny if the scores indicated that they aren’t up to the par. It also guides teachers and helps them determine what to teach and

stories are being read out loud to the class. She listens to the stories and often comment on them. Her off task behaviour does not occur this time. Lacy also explained that her classmates do not like her and she does not want to engage in class activities. Lacy’s off task behaviour usually occurs when her teacher Mr. L is explaining the independent class work and when her classmates are working independently on the assigned work.

to pay for their dare devil actions like bungee jumping in life or death situations, but it depends on if the person who is doing the dangerous activities caused the accident . Adventure seekers should be held responsible if they make risky decisions to do an activity that can harm themselves. It was their decision to go and do those dangerous activities when they know that something

Club Fest was an event on central campus that was a great way to find out what types of clubs and organizations there are on campus. Club Fest has clubs that set up a small booth and they have information that tells who they are and what they do. Club Fest is a great event to go to if you want to find out more information about clubs on campus. The professional development event I attended had Michael Kaplan giving a presentation on October 6th in Carver. Michael gave out tips for having a successful

required to participate in extracurricular activities? I do not think that it should be mandatory for students to participate extracurricular activities. Students are taught to make their own decisions. Extracurricular activities can also create a lot of stress on a student. Some students might not be interested in any of the extracurricular activities that the school has provided. So, students should not be required to participate in extracurricular activities because we are taught to make our own decisions

need to be abided by. Managers control who gets hired by deciding whether or not they will be a valuable employee. The district manager is the one who controls situations that involve incidents, and he or she determines what actions need to be taken based on the report that a manager filled out. The ones who oversee a specific shift, and make sure all tasks are being done so the customers can be happy is the job of the shift supervisors. The headquarters make the rules and regulations in accordance

According to Faculty of Education at University of Cambridge, dialogic teaching is a way of teaching where talk is an effective way to carry out teaching and learning. It involves ongoing talk between two parties; the teacher and the students. In early 2000s, Robin Alexander developed this type of learning. Dialogical teaching helps teacher to discover students’ needs, assess their progress and so on. Dialogic teaching offers an interaction; which is between not only teacher and students; it could

recall what had happened today and then analyse to find out why the outcome was not as good as we had expected and how to improve our shortcomings. In the “Biopharm- Seltek Negotiation”, we played the role of the buyer – Biopharm, a profitable U.S.- based pharmaceutical company. In order to produce a genetically engineered antibiotic compound – Detox - a very promising pharmaceutical product, Biopharm needed a plant with special manufacturing equipment. There were two appropriate options for this decision

Our world today has changed so much from the past that the way we live our lives has also changed drastically over the years. In Restak’s essay, “Attention Deficit: The Brain Syndrome of Our Era,” he stated on how our brains has changed from the olden times, how we are affected by technology and the problems to multitasking. Multitasking has become a common way for people to complete more tasks at a time; however, it is not the best option because it is less efficient, causes distractions and the

On Monday, October 12, 2015 I went with a group of girls to the Lone Tree Retirement Center to complete two hours of community service. We walked in thinking that we would be painting nails and playing games with the residents, but instead we were met at the door by Leon and instructed to paint parking spots. Leon led us outside to the materials and gave us the full instructions of how to complete our task. Our task consisted of four people the first person would scrape the old paint off, the second

related to their activities. Explaining why a task is delegated overcomes buck-passing, as the reasons are