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This study aims to identifying the benefits of the application of ABC system throuth a field study on companies operating in allahabad-india. In order to achieve such aims, a questionnaire was developed and distributed to the population of study. Spss program was used in the analysis. The study concluded with some results. The most apparent is that the expected benefits of behind the application of ABC system from the standpoint of these companies are ABC system helps to calculate the cost of the product more accurately, leads to enhance the costs control and ABC system provides the financial and non-financial information that help in taking sound administrative decisions such as fixing selling prices of products and exclusion of activities that do not add value to the product. The study recommends the companies should start gradually in applying ABC system by persuading the management of these companies on the importance of application the system because of its advantages and benefits.

The Benefits of the Application of Activity Based Cost System - Field Study on Manufacturing Companies Operating In Allahabad City – India