Activity Based Costing. Process Costing is for manufacturers which assemble products that are identical.
accounting
Description
This
week we covered Chapter 3, Process Costing and Chapter 4 Activity Based
Costing. Process Costing is for manufacturers which assemble products
that are identical. Activity Based Costing assigns costs to overhead
activities and then assigns those costs to the assembled products.
Using the company in your Week 1 post, please identify some overhead
costs in the manufacturing operations. What makes these overhead costs
and what cost driver should be used to apply the overhead costs to the
products?
