Analisis penerapan activity based costing dalam penentuan harga pokok produksi pt xyz

Analysis on the Application of Activity-Based Costing in Determining The Production Cost PT XYZ Deni Aruli Putra The purposes of this research were to identify the proper cost driver for every spring bed production, to analyze the allocation of overhead cost of product of spring bed, to determine the prodution cost for every type of spring bed using the activity-based costing method and compare the results with the company's cost, to analyze the profit or loss from each product. The company applied the conventional method to determine the production cost using the employee work hour as a cost driver. The Activity-based costing method uses 4 cost drivers in determining the production cost. The four cost drivers are machine work hour, building area, kilowatt hour and employee work hour. The comparison between the company's cost and the activity-based costing'spring bed was over cost and 16 product types of five categories of spring bed was under cost. The result also shows that there was not any difference between the conventional and activity-based costing method in determining the production cost. The difference will affect the gross profit of each product. Overstated applied of factor overhead will result lowest gross profit. While, understated applied of factory overhead will result higher gross pofit. The conventional method that was currently used by the company was still relevant, making the activity based costing method not needed. Activity-based costing also needs large investments to be invested in order to correctly implement it