Accounting Dictionary

A | B | C | D | E | F | G | H | I | J | K | L | M | N | O | P | Q | R | S | T | U | V | W | X | Y | Z

Proration

Definition: Proration is the allocation of either under- over over-allocated overhead costs among the work-in-process, finished goods, and cost of goods sold accounts at the end of an accounting period.