Assigning direct costs to a cost object is called ________.
A) cost allocation
B) cost assignment
C) cost pooling
D) cost tracing

Question

Quizplus · Accepted Answer

Assigning direct costs to a cost object is called cost tracing. Cost allocation refers to assigning indirect costs to a cost object, cost pooling refers to grouping similar costs together, and cost assignment is a more general term that can refer to either of these activities.

Assigning Direct Costs to a Cost Object Is Called ________