1. Cost Apportionment
  2. Cost Allocation
  3. Cost Absorption
  4. Machine hour rate
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1 Answers

Answer: Option 2

Allotment of whole item of cost to a cost centre or cost unit is known as Cost Allocation. Cost allocation is the process of identifying, aggregating, and assigning costs to cost objects. A cost object is any activity or item for which you want to separately measure costs.

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