Activity Based Costing Analysis
Uploaded by
Preetam JogaActivity Based Costing Analysis
Uploaded by
Preetam JogaActivity Based Costing:
The activity based costing is done as follows.The activities are accounted in indirect costs
Counter-Boys salary
Rent
Electricity
Misc. Expenses
Product Line
50 g
Total
(i)
100 g
per Unit
=
(i)/4687
Cost Description/Unit
Direct costs
Purchase price @Rs.12/kg
Container cost
Total direct cost/Unit
Total
(i)
250 g
per
Unit
=
(i)/3130
0.6
0.075
0.675
Total
(i)
per Unit
=
(i)/1640
500 g
per
Unit
Total
=
(i)
(i)/1000
3
0.1
3.1
6
0.12
6.12
1.2
0.08
1.28
1000 g
Total
(i)
per
Unit
=
(i)/543
12
0.16
12.16
Indirect costs
Counter-boy's salary (Based on
No.of pieces)
Rent of Rs.154 (Based on
weight)
Electricty of Rs.440(Based on
weight)
Misc. expenses of Rs.308(Based
on weight)
Total indirect cost/Unit
Total cost
110% cost
Cost (nearest 10p)
262.472
0.056
175.28
0.056
91.84
0.056
56
0.056
30.408
0.056
18.018
0.00384425
24.101
0.0077
31.57
0.01925
38.5
0.0385
41.811
0.077
51.48
0.010983572
68.86
0.022
90.2
0.055
110
0.11
119.46
0.22
36.036
368.006
0.0076885
0.078516322
48.202
316.443
0.0154
0.1011
63.14
276.75
0.0385
0.16875
77
281.5
0.077
0.2815
83.622
275.301
0.154
0.507
0.753516322
0.828867954
0.82
Actual Sales Price per unit
0.80
Contribution/unit
0.02
1.3811
1.51921
1.5
3.26875
3.595625
3.6
6.4015
7.04165
7
12.667
13.9337
13.9
1.50
3.60
7.10
14.10
0.10
0.20
