Although there are many studies in the literature that explain modern costing
approaches including activity-based costing(ABC),the number of studies that present
real life application sis very few.This is especially true for logistics and transportation
applications.One of the main difficulties in land transportation companies is to
determine and cost of their operations and services.If used and
implemented properly,ABC can be very helpful for transportation companies to
determine costoftheiroperationswithhighercorrectness.Inthispaper,anapplication
of ABCtoalandtransportationcompanythatislocatedinTurkeyispresentedindetail.
In ordertoimprovetheeffectivenessoftheABCanintegratedapproachthatcombines
ABCwithbusinessprocessmodelingandanalyticalhierarchyapproachisproposed.Itis
figured outthattheproposedapproachisquiteeffectiveincostingservicesoftheland
transportation companycomparedtotheexistingtraditionalcostingsystemwhichis
in use.
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