ABC is a firm favourite with high street banks. (activity based costing becomes popular in UK banking sector)

Management Accounting (UK), January, 1995 by Hankes, Janice

Activity based costing (ABC) has become popular in the UK banking sector and is seen as more useful than standard costing since the financial services industry uses employees, equipment and office space. ABC has tended to be introduced by finance departments rather than by management, and is often used for analysing product and customer profitability. Some activities are difficult to cost, such as reading the financial press, and there is a danger of arbitrary cost allocation.

It is very fashionable and hard to avoid', said one delegate about activity-based costing (ABC) at a recent forum. The forum, chaired by Robin Bellis-Jones, focused on the use of ABC in the financial services sector. It was attended by a small group of CIMA members from high street banks, building...

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