Chapter 11.B, Problem 4P

To determine

Introduction:

Cost allocation is the process to identify, aggregate and assign costs to cost objects. A cost object refers to any item or activity for which we need to measure costs separately.

1. The cafeteria cost charged for each division for June.

2. The allocation of cost to each division for June.

3. The criticisms towards usage of allocation of cost method.

4. The probable strategy