ACTIVITY BASED COSTING Definition

Bookmark and Share

ACTIVITY BASED COSTING (ABC) is a costing system that identifies the various activities performed in a firm and uses multiple cost drivers (non-volume as well as the volume based cost drivers) to assign overhead costs (or indirect costs) to products. ABC recognizes the causal relationship of cost drivers with activities.

Learn new Accounting Terms

UNDERWRITER is a. a banker who deals chiefly in underwriting new securities (investment banker), or b. an agent or financial institution that sells insurance.

RIAL is a currency of Iran, Oman, and Yemen.

Suggest a Term

Enter Search Term

Enter a term, then click the entry you would like to view.