This case study discussed the application of activity-based costing (ABC) in a merchandise distribution company and aimed to identify the effective consumption of purchase and sales process resources by the three main market segments the entity is active in, so as to improve its profitability analysis. After a literature review on the main aspects of ABC, the case study was described. First, the study company was characterized. Next, the details of ABC implementation were presented, including what procedures were realized for this purpose. Finally, the most relevant management information obtained through this costing method were mentioned.
Case Study; ABC; Merchandise Distributor
