Indirect Allocation Base
From Knowledge base
Selecting an Allocation Base
When selecting an allocation base for the indirect cost pool, firms consider the type of indirect costs in the pool and whether the base will provide a reasonable representation of the relative consumption of pooled indirect costs by direct cost activities. Each allocation base should be representative of the breadth of activities supported by the pooled indirect costs.[1]
References and Notes
- ↑ (Source) Defense Procurement and Acquisition Policy http://www.acq.osd.mil/dpap/contractpricing/vol3chap9.htm
