Fuzzy Performance Focused Activity based Costing (PFABC)

Namazi (2009) introduced the third generation of ABC as Performance Focused Activity Based Costing (PFABC). This system, unlike TDABC that has a great emphasis on time driver, With select the several cost drivers, greater flexibility in allocating costs to activities has created. In fact, PFABC first allocating costs to activities, then allocate costs to products. Also, this system, unlike TDABC, with using appropriate cost drivers allocate the actual costs for each activity separately. However, this system like other costing systems is face with the phenomenon of ambiguity and uncertainty in estimating of standards as system input. To solve this problem, in This article has been trying for the first time using fuzzy logic to reduce of ambiguity and uncertainty in PFABC in estimate of standards, and Finally, the new system will be introduce as Fuzzy Performance Focused Activity Based Costing(FPFABC).