Activity-Based Cost Assignment System
Advantages of ABCAS
Analysis of costing is done daily-basis by segments of;
- Product/service
- Product line/service line
- Factory/service office, etc.
Analysis of profitability can be done daily-basis by segments of;
- Product/service
- Customer
- Brand
- Channels of distribution
- By geographical region
- By sales office
- By sales person, etc.
In the analysis of profitability, some of the sales and general administration costs linked to particular activities of the Segments (product/service, customer, and channels of distribution) can be assigned to the segments using relevant cost drivers to compute the Segments’ Contribution to the profit of the organization.
ABCAS offers seamless continuous approach from planning to actual-cost-based financial system and synchronizes the management accounting and the financial accounting & reporting.
ABCAS Overview
Activity-Based Cost Assignment System(Time series view)
Output flows (Overview)-an example
Output flows & cost assignment(in a factory)-an example
An example of cost sheet
Profitability by customer (sample)