Research On Application Of Activity Based Costing In TNT International Express Company

In the strong competitive environment of new economic and market age,Activity Based Costing is getting more important and is widely applied.Comparing with the traditional costing,Activity Based Costing realized several important breakthroughs.The most remarkable one is that it has overcome the insufficiency of traditional cost accounting in the computational process.Activity Based Costing could provide the accurate product cost and related information which facilitate the correct decision-making, create or increase the value for the enterprise.This paper selects the TNT Company as the object of studying the application of Activity Based Costing in the international express delivery service.The study is conducted by using the unified method of Qualitative and Quantitative analysis,the standard research combined with case study.This paper consists of four parts.Part one is the introduction.It introduces the background,the significance,the primary coverage and the research framework.Part two is the elaboration of the theory of Activity Based Costing.It gives an overview of the theory of Activity Based Costing which forms the foundation of case study.Part three is case study.It selects two representative subsidiaries of TNT Company to investigate and analyze the implementation and application of Activity Based Costing.Part four is the conclusion of this study.It gives summary to the full text.It points out the problem TNT company should pay attention when apply Activity Based Costing on it and gives advice.Through the analysis on the implementation process,function and limitation of Activity Based Costing on TNT Company,I try to predict the possible problem might encounter and suggest some advice to improve the implementation of Activity Based Costing.I hope I can make some contribution in the promotion and application of Activity Based Costing in service industry.