Allocation Method Definition | Law Insider

Allocation Method definitionAllocation Method. A common industry utilized allocation method that derives an allocation factor by giving an equal weighing to three factors: revenues, number of employees and assets. In this application, the formula derives an allocation factor by giving an equal weight to the ratio of revenues, assets and number of personnel within the cost centers. Item Description: Expenses in this category include those costs incurred which benefit employees such as the servicing and administration of employee benefit plans of various types and payroll processing.View SourceBased on 6 documents6Draft with AISplit ViewAI-Powered Contracts

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Get StartedBook a DemoAllocation Method means the procedure used to assign portions of the Gas flows at a Point of Receipt or Point of Delivery to the various Transportation Contracts moving gas at the location;View SourceBased on 6 documents6Draft with AIAllocation Method. The 100% allocator is used when expenses are specific to the individual cost centers.View SourceBased on 6 documents6Draft with AI

Examples of Allocation Method in a sentence

• For Government Use Only Contract/Order Payment Clause Type of Payment Request Supply Service Construction Payment Office Allocation Method 52.212-4 (Alt I), Contract Terms and Conditions— Commercial Items 52.216-7, Allowable Cost and Payment 52.232-7, Payments under Time-and-Materials and Labor-Hour Contracts Cost Voucher X X N/A Line item specific proration.

• If the Age Weighted Allocation Method is selected in the Adoption Agreement, the total Employer contribution will be allocated to each eligible Participant such that the equivalent benefit accrual rate for each Participant is identical.

• For nonprofit organizations that use the Simplified Allocation Method for indirect costs or elects to use the de minimis rate of 10% of Modified Total Direct Costs in accordance with 2 CFR 200.414, enter the applicable indirect cost rate and type of direct cost base in the first row of the table.

• If no allocation method is specified, use the Pro Rata Allocation Method under Part 4C, #21.a. of this Agreement.

• OMB Circulars (i.e., A-87 and A-122) describe the following allowable methods for allocating indirect costs:  Simplified allocation method  Direct allocation method  Multiple allocation base method  Negotiated indirect cost rate Simplified Allocation Method This method can be used when an organization's major functions benefit from its indirect costs to approximately the same degree.

More Definitions of Allocation Method

Allocation Method. These expenses are allocated based on the ratio of employees of the cost center to the total number of employees for all of the cost centers. Item Description: Expenses that fall under this category include, but are not limited to Workers' Compensation, Property Insurance and Legal services.View SourceBased on 6 documents6Draft with AIAllocation Method means the method of allocating Loans attached hereto as Exhibit E, as updated from time to time upon the mutual agreement of Bank and Sunlight.View SourceBased on 5 documents5Draft with AIAllocation Method means the method of allocating Loans to Bank in any given month based on the requirements set forth in Exhibit E, which may be updated from time to time as may be agreed to by Bank and SunlightView SourceBased on 5 documents5Draft with AIAllocation Method. A common industry utilized allocation method that derives an allocation factor by giving an equal weighing to three factors: plant in service, O&M expenses (excluding purchase power and fuel) and number of customers. The formula derives an allocation factor by giving an equal weight to the ratio of plant in service, O&M expenses (excluding purchase power and fuel) and number of customers within the cost centers.View SourceBased on 4 documents4Draft with AIAllocation Method. Costs are allocated based on the ratio of square footage occupied by each cost center compared to the square footage occupied by all of the cost centers.View SourceBased on 4 documents4Draft with AIAllocation Method. Expenses are allocated based on the ratio of the total number of assets maintained for the cost center to the number of assets maintained for all of the cost centers.View SourceBased on 4 documents4Draft with AIAllocation Method. Expenses are allocated based on the number of budget system users for the cost center as a percent of the total number of budget system users Item Description: The expenses allocated using the Common General Office allocator are primarily for such common costs as building rent and general mailroom costs. Allocation Method: Expenses are allocated based on a weighted average of costs per cost center multiplied by the number of employees in each cost center. Item Description: The expenses allocated using the Company allocator are primarily for such costs where each company benefits equally from certain types of services such as financial reporting and forecasting.View SourceBased on 4 documents4Draft with AI

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Related Definitions

• Balance Computation Method
• Alternative method
• Allocation
• Pro Rata Allocation
• Reference method