Research and Application of the Descriptive Model of Costing Process Based on Active-Based Costing

In the mature market economy, refined costing management is a core factor for enterprises sustaining success. The accurate and elaborate cost information is the necessary basic information for decision-making and strategy-making of enterprises. On the basis of analyzing the principle of active-based costing and its typical models, the descriptive model of costing process based on active-based costing is proposed through combining the component characteristics of industrial enterprises´ production cost. And its costing process and costing methods are researched and expatiated seriously. Finally, the model is developed and applied to certain iron & steel enterprise, which can obtain outing economic and social benefits for enterprises.