Enter the number of activities and the overhead cost per activity into the Calculator. The calculator will evaluate the Allocated Cost.

## Allocated Cost Formula

ALC = NA * OCPA

Variables:

- ALC is the Allocated Cost ($)
- NA is the number of activities
- OCPA is the overhead cost per activity

To calculate the Allocated Cost, multiply the number of activities by the overhead cost per activity.

## How to Calculate Allocated Cost?

The following steps outline how to calculate the Allocated Cost.

- First, determine the number of activities.
- Next, determine the overhead cost per activity.
- Next, gather the formula from above = ALC = NA * OCPA.
- Finally, calculate the Allocated Cost.
- After inserting the variables and calculating the result, check your answer with the calculator above.

**Example Problem : **

Use the following variables as an example problem to test your knowledge.

number of activities = 5

overhead cost per activity = 100