Activity-Based Costing for Marketing and Manufacturing

Book flyer
MS Word
International
MS Word

(Click to Enlarge)

By Ronald J. Lewis

ISBN: 0-89930-801-5

ISBN-13: 978-0-89930-801-2

DOI:

248 pages

Quorum Books

Publication: 5/30/1993

List Price: $81.95 (UK Sterling Price: £47.95)

Availability:

Media Type: Hardcover

Trim Size: 6 1/8 x 9 1/4

Subjects:

Business » Management
Business » Accounting & Taxation
Business » Marketing, Advertising, Sales

Description: The declining domination of American manufacturers in world class markets has resulted in widespread criticism of traditional costing methods. Activity-based accounting for manufacturing costs emerged in the 1980s to satisfy the changes taking place in production methods and techniques, such as Just-in-Time Inventory Control and Flexible Manufacturing Systems. Although activity-based costing methods may be new in manufacturing processes, they have been advocated and applied by marketing managers since the late 1960s, according to Professor Lewis. The accounting profession has finally recognized the advantages of activity-based concepts and methods for both marketing and manufacturing functions. This book shows how activity-based methods and other cost analysis and control techniques may be used by manufacturing and marketing managers. Part I explains the cost concepts and terminology used in modern businesses and describes the concept of a fully integrated manufacturing and costing system. In world class competition the costing systems must serve the total needs of management, not just financial reporting requirements. Costing systems must be flexible and multi-purpose, which is both possible and practical with state-of-the-art computers and software. Part II summarizes the traditional cost accounting systems, describing job-costing and standard costing systems. The allocation of costs becomes more important with technological advances. A full chapter is devoted to the methods of allocation and the changes required to satisfy advanced manufacturing and activity-based costing techniques. Part III illustrates activity-based costing for manufacturing, activity-based costing for marketing, and an activity-based approach to the behavior of costs as well as explaining the traditional factors of variability. Part IV describes the techniques that are necessary for analysis and control of costs by management. To be well informed, managers must know the fundamentals of break-even analysis, relevant costing, capital budgeting, ROI and transfer pricing. The book makes these techniques easy to understand and to apply to real-life situations. It is particularly appropriate for manufacturing managers involved in operations, and for all marketing managers.

Table of Contents:

Concepts and Environment
Cost Concepts and Terminology
Fully Integrated Manufacturing and Costing Systems
Traditional Costing Systems and Methods
Job-Order Costing for Manufacturing
Standard Costing
Traditional Methods of Allocating Indirect Costs
Activity-Based Costing Systems
Activity-Based Costing for Manufacturing
Activity-Based Costing for Marketing
Activity-Based Cost Behavior
Management Accounting Analysis and Control
Breakeven and Contribution Margin Analysis
Relevant Costs and Revenues
Capital Budgeting
Return on Investment and Transfer Pricing
Bibliography
Index

LC Card Number: 92-31710

LCC Class: HF5686

Dewey Class: 657


All rights reserved. Copyright © 1999-2010 ABC-CLIO 130 Cremona Dr., Santa Barbara, CA 93117, 805-968-1911