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activity based costing tool to aid decision making
-explain the three approaches to overhead allocation-explain and identify unit, batch, product, customer, and organization level activities-explain how to implement ABC-identify benefits and limitations of ABC-action analysis report using ABC will not be covered, there are 6 key components to implementing ABC-identify and define activities and activity pools-wherever possible, directly trace costs to activities and cost objects-assign costs to activity cost pools-calculate activity rates-assign costs to cost objects using the activity rates and activity measures-prepare management report. understand the various activity pools: activity based costing,unit level activities,batch level activities,product level activities,customer level activities,organization sustaining activities
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