Research Paper on:
Activity Based Costing Analysis

Unformatted Sample Text from the Research Paper:
discussion will include under what conditions the implementation of activity based costing is likely to be more effective with particular reference to product mix and information availability. ACTIVITY BASED  COSTING This model paper will help the student write his or her own assignment by giving some examples of the type of information that might be found regarding this topic.  The student should be sure to choose their topic accordingly and expand on it using this source as a model only. Activity based accounting basically acknowledges the fact that  the time factor involved with each item produced creates a cost differential per unit. As emphasized by Dugdale (1997) this is best explained in Eli Goldratts Theory of Constraints in  which Goldratt examined the importance of managing bottlenecks or slowdowns in certain machinery in the production line. Goldratt went on to further widen this outlook to include anything that  would slow down the production process, be it machinery, manpower or other aspects of a business that would slow down the actual achieving of the desired end results. Activity based  accounting is valuable in terms of techniques used to measure performance, to make better, well informed decisions, and better employee relations and inventory control. The use of certain accounting  systems, inventory control and other company policies that are not up to modern standards of activity based accounting methods are examples of items that can slow down a production schedule  in the workplace. Time management then is a major motivating factor in activity based accounting, using performance as a measuring tool throughout a facility. The equation "sales revenue less  direct material costs" (Scarlett, 1996, pp. 46) is the measure used for performance based production in determining resource allocation. Assigning a set cost per unit based solely on