Research On The Application Of Activity-Based Costing In The Logistics Enterprise

In the21st century, with the development of our country’s economy and the improvement of the environment for every industry’s development, along with the advance of the technology, China’s modern logistics industry has made rapid development, the external environment has been improving and logistic service has significantly advanced. However, our logistic costs accounting system still lags behind the one in other countries, as well as our management philosophy. Most of our logistic enterprises still use the traditional costing method, which could not reflect the actual cost of logistic products. The inaccuracy of cost accounting can lead to faulty decision of an enterprise. Therefore, the traditional costing method cannot fulfill the requirements of logistic enterprise management. Seeking for a more effective cost management has become a significant problem.The purpose of this paper is to study the application of Activity-based costing (ABC) method from microcosmic aspect, based on the analysis of existing conditions of logistic costing management. First, the paper talks about the necessity and feasibility of application of ABC in the enterprise. This is mainly through the analysis of overseas and domestic present situations with activity-based costing as principle, as well as the current conditions and characteristics of our logistic enterprise management. The paper tries to specify logistic activity-based costing procedures based on the general principles of activity-based costing. In the end, along with the case analysis, the paper presents the measures and suggestions of application of activity-based costing in logistic enterprises.