Technique for selling and administrative costs


Problem: Identify a product or service in Wal-Mart that could use ABC. You can also use this technique for selling and administrative costs. Then identify at least two activities for ABC and the appropriate cost drivers for those activities. Estimate the application rates for each cost driver.

If you cannot identify specific actual amounts, make a reasonable estimate and apply the tool as if the data were factual.

Your report should include

- The name and nature of the organization

- The activity and time period you used

- The inputs you used

- Your results

- Any implications from your results

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Finance Basics: Technique for selling and administrative costs
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