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Activity based Costing

1. Activity-Based Costing
A powerful tool for measuring performance, Activity-Based Costing (ABC) is used to identify, describe, assign costs to, and report on agency operations.
http://www.dod.mil/comptroller/icenter/learn/abcosting.htm
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2. Rethinking Activity-Based Costing
Real-world use has shown ABC loses power in large-scale operations, and can be difficult to implement and maintain. Authors Kaplan and Anderson suggest the process be simplified through an approach they call "time-driven ABC." Here's an overview.
http://hbswk.hbs.edu/item.jhtml?id=4587&t=finance
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3. In recent years, ABC has lost ground in the metric wars. But it may be set for a resurgence.
In the late 1980s, it was hard to imagine that the din over activity-based costing would ever die down. Just a few years earlier, Harvard Professor Robert Kaplan, along with others, had published their first papers on the new metric, touching off a rush of excitement in corporate conference rooms.
http://www.cfo.com/article.cfm/3007694
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