Activity-based costing, or ABC, is a costing method that managers can use for internal cost reporting and decision making. While ABC isn't allowed for external financial reporting, companies may find ...

Product costing is the process of assigning costs to inventory and production based on the expenses that go into producing or buying inventory. It is an especially important process for manufacturers, ...

Analyzing costs can help companies make strategic, financially sound decisions. Activity-based costing and absorption costing are two popular accounting methods that companies employ when evaluating ...

Sean Ross is a strategic adviser at 1031x.com, Investopedia contributor, and the founder and manager of Free Lances Ltd. Charlene Rhinehart is a CPA , CFE, chair of an Illinois CPA Society committee, ...

The Institute of Management Accountants has issued a new report on developing an effective managerial costing model that builds on the IMA’s Conceptual Framework for Managerial Costing. The IMA is ...

This instruction identifies specific items of costs that are either allowable or unallowable on sponsored accounts and specifies which allowable costs are treated as direct costs and which are treated ...

Will Kenton is an expert on the economy and investing laws and regulations. He previously held senior editorial roles at Investopedia and Kapitall Wire and holds a MA in Economics from The New School ...

Argyris, Chris, and Robert S. Kaplan. "Implementing New Knowledge: The Case of Activity-Based Costing." Accounting Horizons 8, no. 3 (September 1994): 83–105.