Improving Costing Methodology Based on Commercial Bank Restructuring

Although many factors affect the bank’s cost structure, the most important one is the indirect cost weight compared with the cost object. However, it is made clear that the banks cannot appropriately allocate their indirect costs to the cost of products and services, control those costs, and use the output for decision making as a result of a survey conducted for this paper. Therefore, this paper is to explore how to improve costing methodology based on commercial bank restructuring since traditional costing system is defined as the suitable method to solve this issue. The study will provide managers and policy makers with strategic insights and an important method to in commercial bank or similar settings.