(a) Distinguish between cost allocation, cost apportionment and cost absorption, (b) Explain in brief various methods for apportionment of service department’s cost over production departments....

(a) Distinguish between cost allocation, cost apportionment and cost absorption,

(b) Explain in brief various methods for apportionment of service department’s cost over production departments.

Describe how costs are allocated under the direct method, the step method, and the algebraic method.