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Essay / Research Paper Abstract
This 3 page paper looks at an article provided by the student concerning the way costs are allocated in projects examining the way costs are allocated and looking at the benefits and potential disadvantages of allocating common costs. The bibliography cites 2 sources.
Page Count:
3 pages (~225 words per page)
File: TS14_TEcostgov.rtf
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Unformatted sample text from the term paper:
first stage was to identify the costs to be allocated, then to allocate the costs and lastly calculate the repayment responsibilities of each department/project. The costs are identified and
disaggregated then much of the cost allocation is undertaken in line with congressional legislation, limiting the way that the costs allocation takes place. This is due to the nature
the organization. The costs may need to be adjusted where there are mixed elements such as interest. The nature of the facility is then considered, where there is a single
purpose facility the total costs will be allocated to the purpose it serves, where there is a facility that serve more than a single purpose. If this is the case
any costs that can be allocated only to a singular use of the facility is allocated to that use, and separated out. If there are facilities where there is more
than one use the costs are allocated across the different uses. There is also a splitting of the costs between those that can be reclaimed and those which are not
available to be reclaimed. This is an approach that is able to allocate costs and ensure that they are accounted for by the project, use of department that are
using those resources. In the case of all costs being allocated to a single project or function issues such as unfair or inaccurate allocation are less of an issue as
there is no split of costs to allocate. However, where there is an allocation of costs between projects, this has the potential to have costs allocated in a way that
does not necessarily reflect the use of the resources for which the costs are allocated. The way that the costs are propositioned, other than splitting in terms of reimbursable and
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