Scenario

You are a cost accountant for Make it Better, a manufacturing organization. Your supervisor is concerned that the organization's current costing system is not providing a about the cost of its products. Your supervisor has asked you for an executive summary that explains how activity$-$based costing can improve visibility into the organizati supervisor has asked that you also recommend strategies for successful profit planning. The overall organizational goal is to implement a cost leadership strategy.

The skills practiced in this assignment will help to support you in your project.

Directions

Write an executive summary that explains the impact of activity$-$based costing within the organization and recommend strategies for profit planning.

Specifically, you must address the following rubric criteria:

Explain the impact of activity$-$based costing within the organization.

Describe the advantages and disadvantages of activity$-$based costing for the organization.

Determine the cost benefit analysis of implementing activity$-$based costing for the organization.

Recommend strategies for profit planning for the organization.

Provide a rationale regarding how the profit planning strategies will help the organization achieve cost leadership.