The overall objective of the indirect (F&A) cost allocation process is to distribute the indirect (F&A) costs described in Section B, Identification and assignment of indirect (F&A) costs, to the major functions of the institution in proportions reasonably consistent with the nature and extent of their use of the institution's resources.
In the fifth step, indirect cost centers are allocated using an allocation algorithm.
Meanwhile, the pyroprocess unit cost increased $22 as a result of allocating the indirect cost using the uniform labor cost as the cost allocation standard.
This summary table is not required to be submitted with the indirect cost proposal if the central service cost allocation plan for the same fiscal year has been approved by the cognizant agency for indirect costs and is available to the funding agency.
Differences in the allocation of indirect cost are another source from which information bias may occur.
Each service was costed independently, with an allocation of indirect cost for those services provided by the same provider, specifically ProTEST coordination, IPT, Outreach, and ProTEST clinic, which were provided by the ZAMBART project team and the VCT centres which were provided by KCTT.
If a nonprofit organization has only one major function, or where all its major functions benefit from its indirect costs to approximately the same degree, the allocation of indirect costs and the computation of an indirect cost rate may be accomplished through simplified allocation procedures, as described in section B.2 of this Appendix.
Under the reciprocal allocation method, the total amount of a particular indirect cost center's cost that is allocated is affected by the reciprocity of services that each indirect cost center provides the other indirect cost centers.
In addition, for an increasingly accurate cost estimation, the calculation results and allocation method of the indirect cost were reanalyzed.
Finally the pyroprocess unit cost increased $5 when calculated the indirect cost using the labor time as the allocation standard.
