course

Fundamentals of Activity Based Costing

(67)
4.32836
139 Enrolled
1 Hour (On-Demand)
1 CPE  
Not currently accepting new students

Allocating overhead using Activity Based Costing will provide companies with the most accurate product cost information needed to make the pricing decisions that are critical to their success.

This Activity Based Costing training explores an alternative way to identify, pool and allocate indirect costs and overheads: Activity Based Costing (ABC).We discuss the challenges of implementing an Activity Based Costing System as well as the benefits, particularly more accurate product costs, that companies using ABC enjoy.

Learning Objectives
  • Analyze how activity based costing works and where it can bring the best results.
  • Describe the differences between traditional methods of applying overhead and activity based methods as well as the four critical factors to consider.
  • Observe the three critical steps for implementing and using activity based costing in your organization.
  • Analyze how to select the most appropriate costs driver to apply activity based costs pools.
  • Distinguish the types of activities, including unit, batch, product and facility costs, their hierarchy and relationship to one another. 
Last updated/reviewed: August 6, 2023
19 Reviews (67 ratings)

Reviews

5
Member's Profile
Course was a good overview related to the fundamentals of activity based costing. Instructor defined key terms and provided illustrations. It would have been beneficial if spreadsheet example used in presentation was provided in the attachments.
3
Member's Profile
This was a fairly basic course for anyone even remotely familiar with product costing. It probably isn't a good CPE course for a CPA, but for someone in Marketing who knows little of product costing, it would be a good introduction.
5
Anonymous Author
This was a great introduction to ABC Fundamentals. It provided a quick overview and allows the viewer to decide if they need to delve more deeply into the this methodology or if traditional accounting is correct for their business.
5
Member's Profile
Excellent overview of ABC with great basic level examples. This course could also benefit from the discussion of ambiguity that sometimes arises in classification of pools and multiple pool drivers structure
3
Anonymous Author
I found the overview quite dull and monotonous. It was hard to stay focus and attentive to the course. Although the material is well organized, it was just hard to stay tuned in.
5
Anonymous Author
Great intro to ACtvitt Based Costing. The excel example to show interactively differences between traditional and ABC methods was really helpful.
5
Member's Profile
This presentation was really very good along with the author. It brush-up my concepts of ABC implementation. Thank you, Chirag
4
Anonymous Author
This course was a basic fundamental course for ABC costing. I found it to be a good primer for more advanced courses.
3
Member's Profile
Good overall understanding of ABC costing. Nice examples and well paced. Congrats one of the better courses.
4
Member's Profile
This course provides practical basic knowledge of ABC methodology. Very recommended for beginner level
4
Anonymous Author
basic but good review for someone in finance, more valuable for a non finance professional
4
Member's Profile
Good solid intro to ABC. Speaker could have moved quicker thru the slides
5
Member's Profile
Excellent review material. Thoroughly explained and easily understood.
5
Member's Profile
Great introduction to ABC principles and practical uses of them.
4
Member's Profile
This course provided a good overview of Activity Based Costing.
3
Member's Profile
Pretty straightforward cost that was a good refresher for me
5
Anonymous Author
A basic revision course. Well presented and well explained.
5
Member's Profile
awesome, easy beginner's course
5
Anonymous Author
Great Review!
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Prerequisites
Course Complexity: Foundational

No advanced preparation or prerequisites are required for this course.

Education Provider Information
Company: Illumeo, Inc., 75 East Santa Clara St., Suite 1215, San Jose, CA 95113
Contact: For more information regarding this course, including complaint and cancellation policies, please contact our offices at (408) 400- 3993 or send an e-mail to .
Instructor for this course
  Course Overview CPE
Course Syllabus
INTRODUCTION AND OVERVIEW
  4:11PREVIEW: Introduction to Activity Based Costing
Fundamentals of ABC
  The 3 Steps of ABC23:55
  Example of Activity Based Costing14:02
  Hierarchy of Activity Based Costs 6:30
Conclusion
  Summary2:16
Continuous Play
  Fundamentals of Activity Based Costing 47:59
SUPPORTING MATERIALS
  Slides: Activity Based CostingPDF
  Activity Based Costing Glossary IndexPDF
REVIEW & TEST
  REVIEW QUESTIONSquiz
 FINAL EXAMexam