Why ABC (Activity-Based Costing)? / Razali Daud

Daud, Razali (2001) Why ABC (Activity-Based Costing)? / Razali Daud. GADING Jurnal UiTM Cawangan Pahang, 6 (1 & 2): 14. pp. 187-194. ISSN 0128-5599


Activity-Based Costing (ABC) system is a fairly new management innovation. Basically ABC system improves the accuracy of product and service costing which is very important in today's business environment. Indirect costs are becoming more prominent with today's business where the emphasis is more on capital and technology intensive mode of operation. With intense competition, the need for the indirect cost to allocated accurately is even greater. Traditional costing system which emphasize on volume based allocation system is simply not adequate to handle the task of allocating indirect costs accurately to product and services. Empirical evidences found through out the late 90's strongly suggest there are benefits to companies from adopting the ABC system.


Item Type: Article
Email / ID Num.
Daud, Razali
Subjects: H Social Sciences > HD Industries. Land use. Labor > Management. Industrial Management
H Social Sciences > HD Industries. Land use. Labor > Manufacturing industries
T Technology > T Technology (General) > Technological change > Technological innovations
Divisions: Universiti Teknologi MARA, Pahang > Jengka Campus
Journal or Publication Title: GADING Jurnal UiTM Cawangan Pahang
UiTM Journal Collections: Others > GADING
ISSN: 0128-5599
Volume: 6
Number: 1 & 2
Page Range: pp. 187-194
Keywords: Activity-Based Costing (ABC) system, Innovation, Business
Date: 2001
URI: https://ir.uitm.edu.my/id/eprint/62750
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