Activity-Based Pricing

Business, Legal & Accounting Glossary

Definition: Activity-Based Pricing


Activity-Based Pricing


Full Definition of Activity-Based Pricing


A variant of cost-plus pricing that takes into account the specific resources required to make a product. Instead of charging an arbitrary fee to cover fixed expenses, a business would calculate the cost of labor, buildings, administration, and other inputs. This type of pricing is more difficult to calculate than simple cost-plus pricing.


Cite Term


To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

Page URL
https://payrollheaven.com/define/activity-based-pricing/
Modern Language Association (MLA):
Activity-Based Pricing. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
December 02, 2021 https://payrollheaven.com/define/activity-based-pricing/.
Chicago Manual of Style (CMS):
Activity-Based Pricing. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
https://payrollheaven.com/define/activity-based-pricing/ (accessed: December 02, 2021).
American Psychological Association (APA):
Activity-Based Pricing. PayrollHeaven.com. Retrieved December 02, 2021
, from PayrollHeaven.com website: https://payrollheaven.com/define/activity-based-pricing/

Definition Sources


Definitions for Activity-Based Pricing are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 19th November, 2021 | 0 Views.