Question: Implement an ABC system at Disney to allocate costs to its theme park attractions. Identify cost drivers related to maintenance, staff, and utilities for attractions.

Implement an ABC system at Disney to allocate costs to its theme park attractions.

Identify cost drivers related to maintenance, staff, and utilities for attractions.

Allocate costs to different attractions based on their operational intensity and visitor numbers.

Analyze attraction profitability using ABC allocations and recommend strategies to enhance visitor experience and operational efficiency.

Cost Drivers

Allocation Basis

Annual Cost Allocation ($)

Maintenance

Number of maintenance hours

$18,000,000

Staff

Number of staff

$12,000,000

Utilities

Utility usage

$10,000,000

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