Abc Costing Definition !!top!! 95%

[ \textTotal ABC Cost_i = \textDirect Costs i + \sum j=1^n \left( \frac\textTotal Cost of Activity j\textTotal Volume of Driver j \times \textDriver Volume Consumed by Product i \text in Activity j \right) ] Scenario: A factory makes Product A (high volume, simple) and Product B (low volume, complex).