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A. Cost allocation refers to the allotment of proportions of items of costs to cost centers or cost units while cost apportionment to the allotment of whole items of costs to cost centers or cost units.
B. Cost allocation refers to the allotment of whole items of costs to cost centers or cost units while cost apportionment refers to the allotment of proportions of items of costs to cost centers or cost units.
C. Cost allocation involves the process of charging indirect expenditure to cost centers or cost units while cost apportionment involves the process of charging direct expenditure to cost centers or cost units.
D. Cost allocation involves the process of charging direct expenditure to cost centers or cost units while cost apportionment involves the process of charging indirect expenditure to cost centers or cost units.
E. A and C
F. B and D
C
Allocation deals with the whole items of cost, cost is directly allocated to any cost center or cost units, it is allocated when the cost center uses whole of the benefits of the expenses, while Apportionment deals with only proportion of items of cost, cost is apportioned when cost centers use only a proportion of the benefits of the whole expenses.
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