Determination of the Indirect Support Costs for the Morale, Welfare, AndRecreation Department at the Naval Postgraduate School in Preparation for an Activity-Based Cost Analysis

Résumé du livre

This thesis is about determining the indirect support costs for the Morale, Welfare, and Recreation (MWR) department at the Naval Postgraduate School (NPS) as a first step in conducting an activity-based cost (ABC) analysis on the organization. All MWRs use a full cost accounting system to track costs, but the problem facing MWR at NPS is that it was unable to determine its indirect support costs (utilities, communications, maintenance, and contracts). This thesis measured and documented indirect costs and also identified activity- based cost drivers for activity pools at MWR. In order to calculate the indirect costs for MWR, an Excel spreadsheet was developed to extract these costs from the rest of NPS. The indirect support costs for MWR at NPS during the first six months of Fiscal Year 2000 were calculated to be approximately $ 150,000. Then, the activities identified by MWR for their ABC study were examined closely, and a suitable cost driver for each activity was recommended.