ABC Pen Factory Tutorial

Format:Multimedia
| Pages:1

Abstract

To preview this online product, Authorized Faculty can call our customer service department at 1-800-545-7685 or 617-783-7600. Illustrates, via a guided audio tour accompanied by dynamically changing spreadsheets, the role for activity-based cost systems. The numerical example reveals the managerial problems created by a traditional, labor-based, cost system when a company adds variety to its product line. Demonstrates how increased variety leads to increased indirect and support costs that are misallocated by traditional cost systems. A simple activity-based cost system is constructed, dynamically, to capture the cost of setups and inspections and then to assign them more accurately to the specialty products that require more setups and inspections. The revised cost and profit numbers are a surprise to management, but they also provide better guidance for actions to enhance profitability. To order this web-delivered product, call our customer service department at (800) 545-7685 or (617) 783-7600.