Which of the following best describes the term used to assign indirect costs to a cost object?
A) Cost tracing
B) Cost allocation
C) Cost assignment
D) Cost accumulation

Question

Quizplus · Accepted Answer

Cost allocation is the process of assigning indirect costs to a cost object, while cost tracing refers to the direct identification of costs with a specific cost object. Cost assignment is a broader term that includes both cost tracing and cost allocation, while cost accumulation refers to the gathering and tracking of costs over a period of time.

Which of the Following Best Describes the Term Used to Assign