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Lecture Fundamentals of cost accounting (4th edition): Chapter 10 - Lanen, Anderson, Maher
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Lecture Fundamentals of cost accounting (4th edition): Chapter 10 - Lanen, Anderson, Maher
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(BQ) Chapter 10: Fundamentals of cost management. Upon completion of this chapter you should be able to: explain the concept of activity-based cost management; use the hierarchy of costs to manage costs; describe how the actions of customers and suppliers affect a firm’s costs; use activity-based costing methods to assess customer and supplier costs;. | © 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Fundamentals of Cost Accounting, 4th edition Lanen/Anderson/Maher Fundamentals of Cost Management Chapter 10 Chapter 10: Fundamentals of Cost Management We start the study of the Fundamentals of Cost Accounting with a review and overview of information necessary for decision making. Learning Objectives LO 10-1 Describe how activity-based cost management can be used to improve operations. LO 10-2 Use the hierarchy of costs to manage costs. LO 10-3 Describe how the actions of customers and suppliers affect a firm’s costs. LO 10-4 Use activity-based costing methods to assess customer and supplier costs. LO 10-5 Distinguish between resources used and resources supplied. LO 10-6 Design cost management systems to assign capacity costs. LO 10-7 Describe how activities that influence quality affect costs and profitability. LO 10-8 Compare the costs of quality control to the costs of failing to control quality. Upon completion of this chapter you should be able to: 1. Explain the concept of activity-based cost management. 2. Use the hierarchy of costs to manage costs. 3. Describe how the actions of customers and suppliers affect a firm’s costs. 4. Use activity-based costing methods to assess customer and supplier costs. 5. Distinguish between resources used and resources supplied. 6. Design cost management systems to assign capacity costs. 7. Identify how activities that influence quality affect costs and profitability. And finally, 8. Compare the costs of quality control to the costs of failing to control quality. Using Activity-Based Cost Management to Add Value LO 10-1 Describe how activity-based cost management can be used to improve operations. Activity-based costing (ABC) is a system used to . | © 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Fundamentals of Cost Accounting, 4th edition Lanen/Anderson/Maher Fundamentals of Cost Management Chapter 10 Chapter 10: Fundamentals of Cost Management We start the study of the Fundamentals of Cost Accounting with a review and overview of information necessary for decision making. Learning Objectives LO 10-1 Describe how activity-based cost management can be used to improve operations. LO 10-2 Use the hierarchy of costs to manage costs. LO 10-3 Describe how the actions of customers and suppliers affect a firm’s costs. LO 10-4 Use activity-based costing methods to assess customer and supplier costs. LO 10-5 Distinguish between resources used and resources supplied. LO 10-6 Design cost management systems to .
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