--%>
Assignment Help - homework help

Activity-based costing

 

A method of assigning overhead costs to products. The first step is to analyze the cost of various activities. This approach looks like at activities (such as changing specifications for a digital painting machine or the cost of processing customer orders) as distinct parts of drudgery. These activities are then identified as cost drivers. Activity-based costing uses cost drivers to assign overhead costs to product or services. Traditionally, manufacturing companies have used the bulk number of direct labor hours as the method of allocating overhead. Activity-based revenue compels manufacturing companies to analysis what is contributing acquired surplus 20 to the price of the product beyond the usual labor and materials 

 

 

   Related Questions in Managerial Accounting

  • Q : Influence of managers

    Write down a short note on the influence of manager’s behavior in management accounting information?

    		•
  • Q : Bank reconciliation statement Explain

    Explain the term bank reconciliation statement?

    		•
  • Q : Define Partnership deed Partnership

    Partnership deed: Partnership deed is a written agreement including the terms and conditions agreed by all the Partners.

    		•
  • Q : Partners-firm and firms name What do

    What do you understand by the terms partners, firm and firms name? Answer: The persons who have entered into a Partnership with each other are individually termed 'P

    		•
  • Q : Define Job Costing Job Costing : It is

    Job Costing: It is an order-specific costing method, utilized in situations where each job is distinct and is executed to the customer's specifications. Job costing includes keeping an account of direct and in-direct costs.

    Q : Influence of lack of partnership deed

    Describe the provision of 'Indian partnership Act 1932‘concerning sharing of profits in lack of any provision in partnership deed. Answer: In the lack of any p

    		•
  • Q : Evaluate the strategic options Identify

    Identify and evaluate the strategic options in brief?

    		•
  • Q : Explain Investor Accounting Investor

    Investor Accounting: It is an individual who commits money to investment products with the hope of financial return. Usually, the primary concern of an investor is to diminish risk whereas maximizing return, as opposed to a speculator, who is willing

    		•
  • Q : Performance evaluation and

    Write down a short note on the Performance evaluation and control in decision making process?

    		•
  • Q : Define Partnership Accounting

    Partnership Accounting: A business can be a firm, a partnership, or a solitary proprietorship. The corporation is incorporated at state level. The sole proprietorship is one person in business. A partnership is two or more than two persons with an agr

    		•