Simply stated, cost allocation is the process of assigning charges to accounts ... the cost must be allocated to the projects based on the proportional benefit. If a cost benefits two or more projects ...

Indirect costs are expenses not directly linked to making products or delivering services. In the case of an automaker’s ...

The costs to run these centers need to be allocated to revenue-generating departments. Common allocation methods include direct allocation, step-down allocation, and activity-based costing.

Cost allocation decisions are subject to verification through ... the cost should be allocated to the projects based on the proportional benefit. If a cost benefits two or more projects or activities ...