Usability of Time Driven Activity Based Costing Methods in the Budgeting Process of SMEs

ENGİN MERİÇ; MUSTAFA GERŞİL

Usability of Time Driven Activity Based Costing Methods in the Budgeting Process of SMEs

Date

2018

Authors

ENGİN MERİÇ

MUSTAFA GERŞİL

Abstract

In this study budget and cost calculations, which can be applied by producerSmall and Medium-sized Enterprises (SME), have been emphasized to contributeproducer SME’s having longer lifespans in today’s conditions of high competition.Nowadays when we act on the fact that the budget and cost calculations are inadequatein SMEs, it is intended to be a useful work that can be implemented and contribute tothe achievement of the objectives to managers. In the studies carried out, it isoveremphasized on the interrelated studies of budget, product based costs andproduction targets (productivity). In product-based cost calculations, the most up-todate approach in the distribution of manufacturing overhead costs was made using theTime-Driven Activity Based Costing (TDABC) method. In consequence of the applicationstudy, the idle capacity was determined and the productivity results were obtained withthe improvement studies. Finally, the findings were interpreted and the suggestionswere made.