--%>

Explain Cost Allocation

Cost Allocation: This is a technique of assigning costs to activities, outputs, or other cost objects. The allocation base employed to assign a cost to objects is not essentially the cause of the cost. For illustration, assigning the cost of power to machine actions by machine hours is an allocation since machine hours are an indirect measure of the power utilization.

   Related Questions in Managerial Accounting

  • Q : Explain Common Data Source Common Data

    Common Data Source: All of the programmatic and financial information available for the cost, budgetary, and financial accounting processes. This comprises all financial and much non-financial data, like environmental data, which are

  • Q : Classification of costs with examples

    describe how costs can be classified giving examples in each classification. explain how the different cost classifications can assist management in decision making

  • Q : Performance evaluation and

    Write down a short note on the Performance evaluation and control in decision making process?

  • Q : Determine & Analysis on Income

    The DU Inn The DU Inn is an 80-room hotel located on some mountaintop in Colorado. That has no bar or restaurant &is positioned as a mid-priced, good quality "homey" hotel.  It is open only during

  • Q : What is Direct Cost Direct Cost : The

    Direct Cost: The cost of resources directly used by an activity. The direct costs are assigned to actions by direct drawing of units of resources used by individual actions. A cost which is particularly recognized with a single cost o

  • Q : Operation of business

    What are the main reasons that the operation of business environment has become ever more turbulent and competitive?

  • Q : Threats to business comprises Write a

    Write a brief note on the things which Threats to business comprises?

  • Q : Basic accounting principles or concepts

    ACCOUNTING CONCEPTS: Presented below are basic accounting principles or concepts, with which hospital managers should be familiar and that they should understand i

  • Q : Developing objectives and plans in

    Write down a short note on the developing objectives and plans in decision making process?

  • Q : Why wealth creation is a longer-term

    Write a short note on why wealth creation is a longer-term concept?