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Activity Based Costing (ABC)

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A

Activity Based Costing (ABC)

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A form of cost accounting that focuses on the costs of performing specific functions (processes, activities, tasks, etc.) rather than on the costs of organizational units. ABC generates more accurate cost and performance information related to specific products and services than is available to managers through traditional cost accounting approaches.



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Modified By: Penelope
Last Modified: Jun. 12, 2003


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