Budgeted indirect-cost rate
Budgeted indirect-cost rate is budgeted annual indirect costs in a cost pool divided by the budgeted annual quantity of the cost allocation base.
Definitions
According to Cost Accounting by Horngren, Datar, Rajan (14th edition),
- Budgeted indirect-cost rate. Budgeted annual indirect costs in a cost pool divided by the budgeted annual quantity of the cost allocation base.
- Budgeted indirect-cost rate. Budgeted annual indirect costs in a cost pool divided by the budgeted annual quantity of the cost allocation base.