HOW ACTIVITY-BASED COSTING WORKSBusinessEditors Pick by Bernard Taiwo - September 16, 20200HOW ACTIVITY-BASED COSTING WORKS Activity-based costing (ABC) is an accounting method that allows businesses to gather data about their operating costs. Costs are assigned to specific activities - such as planning, engineering, or manufacturing - and then the activities are associated with different products or services. In this way, the ABC method