Activity Based Costing: Assume you belong to a club that wants to offer a trip to its
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Activity Based Costing: Assume you belong to a club that wants to offer a trip to its members. (You pick the trip. It could be to a ski slope, the beach, or wherever you want!) Your club will pay all costs of the trip, including meals, transportation, and lodging, and will ask the travelers to pay a flat fee to the club. List all of the activities that would cause costs to be incurred. Start with a brochure that advertises the trip and continue listing activities until your travelers are home (safely, we hope). Although the club pays all costs of the trip, you may exclude personal items (for example, ski rentals, telephone calls). Be sure to state what items you are explicitly excluding from the calculation.
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