An Application Research on Activity-Based Costing in the Cost Management of Construction Enterprise

摘要

Currently, most of the construction enterprises in China have many problems with cost management, such as how to precisely control the actual costs, how to optimize the internal value chain, etc. With the fierce competition in construction market, the profits in construction enterprises are becoming less by applying the traditional cost management. Therefore, it is necessary for construction enterprises to take advantage of modern methods of cost management to improve the production efficiency and control construction cost. Activity-based costing can solve the problem of distortion of cost information in traditional cost management and provide relatively accurate cost information. In addition, activity-based costing can make the planning, decision, and control more effective and scientific. At present，the construction enterprises already have the basic conditions for applying Activity-based costing. Based on the basic conditions for this method, the thesis analyses the necessity and feasibility of construction enterprises applying the activity-based costing, and introduces the detailed procedures. This paper also studies the model of cost management by applying the information provided by activity-based costing. The paper hopes to supply a reference to these construction enterprises to improve their cost management.