View the step-by-step solution to:

When it comes to pricing of products and services produced by the company, activity cost is calculated for activities that have been performed in the...

When it comes to pricing of products and services produced by the company, activity cost is calculated for activities that have been performed in the process of producing the products and services. How is the assigning done in the verge to accomplish activity based costing ?

Top Answer

The assigning is done where activity-based... View the full answer

1 comment
  • In a more insight, Activity based costing recognizes that the special engineering, special testing, machine setups, and others are activities that cause costs which cause the company to consume resources. The company will calculate the cost of the resources used in each of these activities.
    • expertmaboso
    • Jul 20, 2016 at 5:14am

Sign up to view the full answer

Other Answers

answer Activity based costing (ABC) assigns manufacturing overhead costs to products in a more logical manner... View the full answer

2 comments
  • note ;Activity based costing recognizes that the special engineering, special testing, machine setups, and others are activities that cause costs—they cause the company to consume resources. Under ABC, the company will calculate the cost of the resources used in each of these activities.
    • Prof.William
    • Jul 20, 2016 at 5:12am
  • Next, the cost of each of these activities will be assigned only to the products that demanded the activities.
    • Prof.William
    • Jul 20, 2016 at 5:13am

1. Value-based pricing: The driver to increase short-term profits No business can afford to ignore the importance of pricing.... View the full answer

Activity based costing first assigns costs to the activities that are the... View the full answer

Why Join Course Hero?

Course Hero has all the homework and study help you need to succeed! We’ve got course-specific notes, study guides, and practice tests along with expert tutors.

-

Educational Resources
  • -

    Study Documents

    Find the best study resources around, tagged to your specific courses. Share your own to gain free Course Hero access.

    Browse Documents
  • -

    Question & Answers

    Get one-on-one homework help from our expert tutors—available online 24/7. Ask your own questions or browse existing Q&A threads. Satisfaction guaranteed!

    Ask a Question
Ask a homework question - tutors are online