BUS105: Activity-Based Costing | Saylor Academy

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This series of three videos covers the concepts that underlie activity-based costing. They consider Zannon Corporation, which, like SailRite, is experiencing sales growth but worryingly shrinking profits. Work through each video, pencil in hand, or create your own spreadsheets to follow along.

Video 1: Activity-Based Costing - Part 1
Video 2: Activity-Based Costing - Part 2
Video 3: Activity-Based Costing - Part 3

Source: Tony Bell
This work is licensed under a Creative Commons Attribution 3.0 License.

Last modified: Friday, 13 December 2024, 11:23 AM

Course Introduction

Course Syllabus

Unit 1: Managerial Accounting

1.1: Financial Accounting vs. Managerial Accounting

Characteristics of Managerial Accounting

1.2: Key Finance and Management Accounting Personnel

Planning and Control Functions Performed by Managers

Key Finance and Accounting Personnel

1.3: Ethical Issues Facing the Accounting Industry

Ethical Issues Facing the Accounting Industry

1.4: Computerized Accounting Systems

Computerized Accounting Systems

1.5: Product Costs

Cost Terminology

How Product Costs Flow through Accounts

1.6: Income Statements for Manufacturing Companies

Income Statements for Manufacturing Companies

1.7: Basic Math Review

Math for Accounting

Unit 2: Job Costing

2.1: What is a Job Cost System?

Differentiating Job Costing from Process Costing

Job Order Costing

2.2: Direct Material, Direct Labor, Factory Overhead

How a Job Costing System Works

Assigning Manufacturing Overhead Costs to Jobs

Job Costing in Service Organizations

Summary of Cost Flows at Custom Furniture Company

2.3: Allocating Overhead Costs

Why Allocate Overhead Costs?

Approaches to Allocating Overhead Costs

Using Activity-Based Costing to Allocate Overhead Costs

2.4: Practical Uses of ABC Costing

Using Activity-Based Management to Improve Operations

Using Activity-Based Costing (ABC) and Activity-Based Management (ABM) in Service Organizations

Activity-Based Costing

Unit 3: Process Costing

3.1: What is a Process Costing System?

Comparison of Job Costing with Process Costing

3.2: Direct Materials, Direct Labor, Factory Overhead

Product Cost Flows in a Process Costing System

3.3: Assigning Costs in Four Steps

Determining Equivalent Units

The Weighted Average Method

3.4: Cost of Production Report

Preparing a Production Cost Report

Process Costing

Unit 4: Cost Behavior Patterns

4.1: Cost Behavior Patterns

Cost Behavior Patterns

Cost Behavior

4.2: Cost Estimation Methods

Cost Estimation Methods

4.3: Contribution Margin Income Statement

The Contribution Margin Income Statement

The Relevant Range and Nonlinear Costs

High-Low Method

Scattergraph

Least Squares Regression

Appendix: Performing Regression Analysis with Excel

Unit 5: Cost-Volume-Profit Analysis

5.1: Cost-Volume-Profit Analysis

Cost-Volume-Profit Analysis for Single-Product Companies

Cost-Volume-Profit Analysis for Multiple-Product and Service Companies

Cost-Volume-Profit Analysis

5.2: Using Cost-Volume-Profit Models for Analysis

Using Cost-Volume-Profit Models for Sensitivity Analysis

Impact of Cost Structure on Cost-Volume-Profit Analysis

5.3: Cost-Volume-Profit Considerations

Using a Contribution Margin When Faced with Resource Constraints

Income Taxes and Cost-Volume-Profit Analysis

Using Variable Costing to Make Decisions

Cost-Volume-Profit Analysis, Continued

Unit 6: Using Differential Analysis to Make Decisions

6.1: Formatting differential analysis

Using Differential Analysis to Make Decisions

6.2: Make-or-Buy Decisions

Make-or-Buy Decisions

Relevant Costs for Decision Making: Make or Buy

6.3: Product Line Decisions