The Feasibility of Implementing Activity-Based Costing (ABC) in Samen Credit Institution

摘要

Activity-based costing helps manager to better understand activities and organization procedures in order to make more correct and accurate decisions. Existence of competitive market that has been created due to privatization policies in government through the establishment of financial institutions and private banks and also monetary policies in order to reduce credit interest rates has increased bank management?s need for accurate information about costs. Large volume, diversity and complexity of services. Increasing overhead costs of financial institutions and banks and also the fact that cost of services presented to the customer by this institution are not clear and transparent have duplicated the necessity to use activity-based costing to calculate cost of each service. This research examines the feasibility of implementing activity-based costing system in Samen Credit Institution and recognizing limitations and challenges and also presenting a pattern to implement and establish this system in financial or credit institutions and banks. The current research has been defined in the framework of a main hypothesis and four secondary hypotheses and it has been tested through examining circulars and instructions, observation and questionnaires among experts of the institution. Student?s t-test is applied for statistical test and obtained results support the hypotheses of research indicating the feasibility of implementing activity-based costing and recognizing its components.