Problems with Cost Allocation,”(1) Allocation of costs that are not controllable, (2) Arbitrary allocations, (3) Unitized fixed costs, (4) allocations of manufacturing overhead to products using too few overhead cost pools

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Problems with Cost Allocation,”(1) Allocation of costs that are not controllable, (2) Arbitrary allocations, (3) Unitized fixed costs, (4) allocations of manufacturing overhead to products using too few overhead cost pools

and (5) use of only volume-related allocation bases”