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Activity Based Costing Abc In Apple Inc Final Copy

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Running head: ACTIVITY-BASED COSTING ABC IN APPLE INC 1
Activity-Based Costing ABC in Apple Inc.
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Institutional Affiliations

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ACTIVITY-BASED COSTING ABC IN APPLE INC 2
Activity-Based Costing ABC in Apple Inc.
Introduction
The costs of daily operations in a multinational corporation like Apple Inc. can be quite high. As
such, it is important to adopt a method necessary in the measurement and presentation of the
incurred costs to help in decision making. Decisions made by the management would affect the
operations of an organization either positively or negatively therefore its goals are also affected.
Any organization has a primary goal of making profits and achieve set goals aiming at achieving
business sustainability. As such, business organizations should always strive at minimizing their
costs while maximizing profits as much as possible. Managers are tasked with an assignment of
making cost allocation decisions to establish a relationship that exists between costs and cost
objectives. This paper, therefore, seeks to discuss the use of Activity Based Costing (ABC) in
Apple Inc.
Background Information
Apple Incorporation is a multinational company with its headquarters-based Cupertino in
California. This corporation was established in the year 1976 by Steve Jobs, Steve Wozniak, and
Ronald Wayne. Apple designs and manufactures PC software and electronics. Among the
products which the company produces include Apple Smartphones, smartwatches, iOS operating
systems, OS X, tablets, safari browser, and other consumer software. There are other online
stores owned by Apple which include iOS App Store, iTunes Store, iCloud and Mac App Store.
The company sells its products globally hence its products are found almost in each country.
Apple Incorporation has been able to venture into a variety of consumer products which it
possible for it to be able to penetrate and sell its products in different markets. Apple Inc.,

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Running head: ACTIVITY-BASED COSTING ABC IN APPLE INC Activity-Based Costing ABC in Apple Inc. Your name Institutional Affiliations 1 ACTIVITY-BASED COSTING ABC IN APPLE INC 2 Activity-Based Costing ABC in Apple Inc. Introduction The costs of daily operations in a multinational corporation like Apple Inc. can be quite high. As such, it is important to adopt a method necessary in the measurement and presentation of the incurred costs to help in decision making. Decisions made by the management would affect the operations of an organization either positively or negatively therefore its goals are also affected. Any organization has a primary goal of making profits and achieve set goals aiming at achieving business sustainability. As such, business organizations should always strive at minimizing their costs while maximizing profits as much as possible. Managers are tasked with an assignment of making cost allocation decisions to establish a relationship that exists between costs and cost objectives. This paper, therefore, seeks to discuss the use of Activity Based Costing (ABC) in Apple Inc. Background Information Apple Incorporation is a multinational company with its headquarters-based Cupertino in California. This corporation was established in the year 1976 by Steve Jobs, Steve Wozniak, and Ronald Wayne. Apple designs and manufactures PC software and electronics. Among the products which the company produces include Apple Smartphones, smartwatches, iOS operating system ...
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