Research On ABCM And Application In Project

Internal and external environment changes of modern enterprises make current cost management system which suits traditional enterprise environment not satisfy the demand of cost management in companies And the applicability of that theoretical method is facing challenges. The emergence of ABCM has shaken the theoretical foundation of traditional cost accounting and management accounting and brought turning point for the formation and development of theory and method system of activity cost management. With the change of the market, traditional theories and methods of cost management have not meet to the requirements of new situation. Cost Accounting plays an important role in Project, How to manage them efficiently is a great challenge we must face. Under this background, this thesis is carried on.This thesis mainly focuses on cost accounting in project based on ABC. Relevant concepts, general procedures and its mathematical model of ABC are elaborated. From the fundamental theory of the Activity-Based Costing, this article scans project management using the "view of activity" to impose that having not research on activity is the inherent reason of the above problems. So the application of Activity-Based Costing in project management is not only logical but also necessary. Finally, it studies the cost driver selection and decision theory, with a case study of a construction enterprise .