An allocation base
A)is the minimum amount to be allocated to a cost objective.
B)is also called a cost pool.
C)represents the items to which a cost will be allocated.
D)relates the cost pool to the cost objectives.

Question

Quizplus · Accepted Answer

An allocation base relates the cost pool to the cost objectives, and is used to allocate costs to specific items based on a common factor. It is not the minimum amount to be allocated or another term for cost pool.

An Allocation Base