Activity based costing (ABC)

Cost type
Cost for space
Advertising
Office supplies
Telepone & Internet
Insurance
Staff costs
Deprication
Control sum

Total cost
120,000.00
100,000.00
24,000.00
72,000.00
25,000.00
2,100,000.00
300,000.00
2,741,000.00

Resource driver
Square meter
Percent
Percent
Percent
Percent
Number of employees
Asset value

Resourse driver volume

300
100%
100%
100%
100%
6
3,000,000.00

Activities
Inkp
Inleverans material
Frflyttning material
Produktionsplanering
Omstllning maskin
Maskinbearbetning
Kvalitetskontroll
Utleverans
Frsljning
Kontrollsummor

Cost for space

Advertising

Office supplies

Activities
Purchasing
Receive material
Move material
Production planning
Machine set up
Production
Quality control
Delivery
Selling
Kontrollsumma

Activity cost
388,100.00
197,140.00
189,140.00
372,900.00
48,420.00
637,140.00
158,020.00
243,650.00
506,490.00
2,741,000.00

Cost driver
Worktime minutes
Worktime minutes
Worktime minutes
Worktime minutes
Number of set ups
Mashine time minutes
Worktime minutes
Worktime minutes
Worktime minutes

Cost driver volume/year

89760
44880
44880
89760
440
179520
35904
53856
89760

Production order

Number of packets

Direct material

Purchase

Spiral screw 1000 pkt a 2500

Matt screw 1000 pkt a 2500
Wood screw 1000 pkt a 2500
Wood screw 1000 pkt a 2501
Wood screw 1000 pkt a 2502
Wood screw 1000 pkt a 2503
Wood screw 1000 pkt a 2504
Wood screw 1000 pkt a 2505
Wood screw 1000 pkt a 2506

20
30
10
20
20
120
20
40
20
300

1000
1000
1000
1000
1000
1000
1000
1000
1000

0%
0%
0%
0%
0%
0%
0%
0%
100%
100%

5,000.00
6,500.00
4,300.00
4,300.00
4,300.00
4,300.00
4,300.00
4,300.00
4,300.00

30%
5%
5%
20%
2%
5%
8%
5%
20%
100%

10.25
12.55
9.10
9.10
9.10
9.10
9.10
9.10
9.10

Wood screw 1000 pkt a 2507

Control sum
Capacity utilization

1000

4,300.00

9.10
95.60
0.107%

Cost/resource driver
400
100000
24000
72000
25000
350000
0.1

Telephone & Internet

Insurance
20%
2%
2%
5%
2%
2%
5%
10%
52%
100%

Staff Costs
10%
10%
10%
10%
10%
30%
10%
5%
5%
100%

1.00
0.50
0.50
1.00
0.10
0.90
0.40
0.60
1.00
6.00

Deprication
60,000.00
50,000.00
50,000.00
40,000.00
10,000.00
2,640,000.00
20,000.00
80,000.00
50,000.00
3,000,000.00

Cost/cost driver
4.32
4.39
4.21
4.15
110.05
3.55
4.40
4.52
5.64

Receive material

1 person, 220 working days * 480 minutes * 0,85 in adjustment factor for breaks and talking
0,5 person, 220 working days * 480 minutes * 0,85 in adjustment factor for breaks and talking
0,5 person, 220 working days * 480 minutes * 0,85 in adjustment factor for breaks and talking
1 person, 220 working days * 480 minutes * 0,85 in adjustment factor for breaks and talking
Number of setups during one year is 440, practical available capacity
2 Machine processes, 220 working days * 480 minutes * 0,85 in adjustment factor for maintenance, problems
0,4 person, 220 working days * 480 minutes * 0,85 in adjustment factor for breaks and talking
0,6 person, 220 working days * 480 minutes * 0,85 in adjustment factor for breaks and talking
1 person, 220 working days * 480 minutes * 0,85 in adjustment factor for breaks and talking

Move material

30.00
45.00
60.00
60.00
60.00
60.00
60.00
60.00
60.00

Production planning

20.00
20.00
20.00
20.00
20.00
20.00
20.00
20.00
20.00

Machine set up

30.00
35.00
20.00
20.00
20.00
20.00
20.00
20.00
20.00

Production

1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00

400.00
375.00
250.00
250.00
250.00
250.00
250.00
250.00
250.00

60.00
555.00
1.237%

20.00
200.00
0.446%

20.00
225.00
0.251%

1.00
10.00
2.273%

250.00
2,775.00
1.546%

aks and talking

reaks and talking
reaks and talking
aks and talking

actor for maintenance, problems and stops

breaks and talking
breaks and talking
aks and talking

Quality control

60.00
75.00
45.00
45.00
45.00
45.00
45.00
45.00
45.00

Delivery

Selling

20.00
25.00
14.00
14.00
14.00
14.00
14.00
14.00
14.00

240.00
180.00
120.00
120.00
120.00
120.00
120.00
120.00
120.00

Cost

8,623.52
9,881.47
6,706.12
6,706.12
6,706.12
6,706.12
6,706.12
6,706.12
6,706.12

Cost/pck

8.62
9.88
6.71
6.71
6.71
6.71
6.71
6.71
6.71

45.00
495.00
1.379%

14.00
157.00
0.292%

120.00
1,380.00
1.537%

6,706.12

6.71