Study On Applicatian Of Activity-Based Costing In J Company

Along with the rapid development in science and technology,more and more fiercemarket competition,enterprises face enormous pressure of competition.So the enterprise eager to success in the invincible position must keep pace with thetimes,and make full use of science and technology to promote the automation level of production.At the same time,with the popularization of mechanical automation technology and the changes in the cost of the product structure,great changes have takenplace.For example,the artificialgradually replaced by machine,the traditional cost accounting method has been unable to meet the requirements of modern enterprise.However,activity-basedcosting(ABC)just can make up for the defects of traditional cost accounting,as a result,activity-based costingarises at the historic moment,which can provide accurate cost information enterprise for decision-making in product pricing,production and market orientation and other various aspects.Firstly,this paper systematically studies the present situation of activity-based costing at home and abroad on the basis of relevant theories,analyses the problems of J companyaccording to current situation of J company's cost accounting,which shows the main problems are the lack of correct product cost information,and inaccurate product price.Then the necessity and feasibility of implementing ABCareanalyzed and the design principle is put forward of ABC system in the paper.Then implement plan has been designed specifically in J machinery manufacturing company,mainly including the operation cost method,such as dividing the operation center,determining the activity motivation and allocating resource cost.The comparative analysis between activity-based costing and the tradition costing method shows that ABCprovides a more accurate cost information for J company,at the same time provide more reliable basis for product price.Finally,this paper points out the difficulties of implementation of ABC,and puts forward related suggestions.Through this article research,not only can make the cost information precision of J company,which provides the basis for pricing decisions for the company,strengthens the company's operation and management ability,but also can provide reference for the application of machinery manufacturing enterprises using ABC.