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Activity Based Costing (ABC) for Best Buy: identify two activities for ABC

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I need to know if a product or service of Best Buy Co., Inc could use Activity Based Costing (ABC). I need assistance in identifying at least two activities for ABC and the appropriate cost drivers for those activities. Estimate the application rates for each cost driver.

If the above can't be identified in specific actual amounts, then can you make a reasonable estimate and apply the tool as if the data were factual.

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Solution Summary

Activity based costing (ABC) for Best Buy is analyzed. he response addresses the queries posted in 285 Words and excel file, APA References.

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The response addresses the queries posted in 391 words with references.

//Before writing about the activity based costing; we have to understand about the business and its nature. So firstly we will discuss about the company. After this, we should know that what are the techniques of activity based costing and its importance in the financial analysis of an organization. For examples: //

Best Buy Co. was established in the year 1966 and situated in Richfield, Minnesota. Earlier, it was called by the name of Sound of Music, Inc. In the year 1983, its name was changed to Best Buy Co. This company together with its number of stores works as a largest retailer of the customers for electronic, entertainment software, Appliances, ...

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  • MBA (IP), International Center for Internationa Business
  • BBA, University of Rajasthan
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