<b>Counting the cost in a pet shop by the method of activity-based costing</b> - doi: 10.4025/enfoque.v27i2.7279

Abstract

Businesses have become increasingly competitive due to the major global transformations and more demandingcustomers; as a result, companies have sought to lower production costs in order to offer quality goods andservices at a lower cost. In order to reach that objective, new systems have been developed to aid in theadministrative process, aiming for efficiency and efficacy within organizations. To avoid lagging behind theseadvances in business, however, the field of Accounting has applied several concepts, techniques and methodsof strategic cost management. One of these methods is Activity-Based Costing, which aims to cost its products(goods or services) through the activities developed in the production process. Therefore, this work, whichis a case study, has as its objective to assess the costs of the grooming salon of a pet shop by using theActivity-Based Costing method, in order to aid the owner in his decision-making. After conducting a literaryreview on costs and the main aspects of Activity-Based Costing, the performed study is presented, beginningwith data assessment; cost calculations are then performed and distributed to the activities consumed by theservice provided, according to the method given. Lastly, the most relevant data obtained from the use of thiscosting method are mentioned.