Terms to Learn

This chapter and the Glossary at the end of the text contain definitions of the following important terms:

  1. allowable cost
  2. artificial costs
  3. bundled product
  4. common cost
  5. complete reciprocated costs
  6. Cost Accounting Standards Board (CASB)
  7. direct method
  8. dual-rate method
  9. incremental cost-allocation method
  10. incremental revenue-allocation method
  11. matrix method
  12. operating department
  13. production department
  14. reciprocal method
  15. revenue allocation
  16. revenue object
  17. service department
  18. single-rate method
  19. sequential allocation method
  20. stand-alone cost-allocation method
  21. stand-alone revenue-allocation method
  22. step-down method
  23. support department