Abstract:

The purpose of the study named as "The Activity Based Costing: An Application in the Olive Sector" is the implementation of activity-based costing in the olive sector and the statement of the differences as regards the traditional costing. The accepted basic hypothesis in the thesis is that the activity-based costing provides more accurate cost information than the traditional costing process. In this study initially comprehensive information about activity based costing is given and after that, the formation stages of activity based costing are explained. Then the activity-based costing process is applied in a business dealing with production of olives. Later the results obtained are compared to the results accounted with the traditional costing process of the firm. According to the results, it is stated that the activity-based costing provides more accurate cost information than the traditional costing process.

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