i. Evaluate the differences between Activity Based Costing and the traditional costing method in todays organization.

ii. Discuss with examples, the steps that need to be taken when using the Activity Based Costing in the service industry.

iii. Conclude your report by making the necessary inferences and suggest the future implications based on your findings.

ASSIGNMENT BRIEF: Read the assignment instruction carefully and prepare a report on the following: Activity based Costing is a system that allocates overhead to multiple activity cost pools and assigns the activity cost pools to products or services by means of cost drivers. On the other hand, Activity Based Management would generally refer to an extension of Activity based Costing from product costing to a comprehensive management tool that focuses on reducing costs and improving processes and decision making. 1. Evaluate the differences between Activity Based Costing and the traditional costing method in today's organization. ii. Discuss with examples, the steps that need to be taken when using the Activity Based Costing in the service industry. iii. Conclude your report by making the necessary inferences and suggest the future implications based on your findings. IMPORTANT NOTES: Giving proper answers to the questions and profoundly discussing relevant issues. Asking appropriate and precise questions in the report that address major issues of the required areas of analysis. Referencing and utilizing suitable resources, Table below is a typical representation of marking scheme adopted and merely serves as a guide. DISCUSSION AREA GUIDELINES / MARKING CRITERIA WEIGHTA GE IN Abstract Abstract of the whole report 0 10 . 15 Introduction An overview of the strategic management (about 300 words) Body Literature review: (about 2,200 words) How Activity Based Costing is important in today's service must demonstrate organization. assessment, argument, Steps taken when calculating costs using evaluation and the Activity Based Costing approach in synthesis of material organizations. covered using Examples of Activity Cost Based Costing appropriate examples to. Assessment of a service industry. link with citations and Key Issues raised in executing Activity Based Costing quotations in today organizations (challenges and limitations) 15 15 10 10 x/20 Conclusion, Findings, should answer the objectives within the scope that you set and out in the Literature review Recommendations, (500 words) Format / Presentation Logical, coherent, and substantiated arguments with of the report appropriate citations and Harvard referencing style at the end TOTAL 5 X/100