Systematic way of linking group of indirect cost to a cost object is classified as

linked allocation base
direct allocation base
indirect allocation base
cost allocation base

The correct answer is: D. cost allocation base.

A cost allocation base is a systematic way of linking a group of indirect costs to a cost object. It is used to assign indirect costs to cost objects in a rational and equitable manner.

A linked allocation base is a type of cost allocation base that is based on a logical relationship between the indirect cost and the cost object. For example, the number of machine hours used by a product is a linked allocation base for the cost of machine maintenance.

A direct allocation base is a type of cost allocation base that is directly traceable to a cost object. For example, the cost of direct materials used in a product is a direct allocation base for the cost of the product.

An indirect allocation base is a type of cost allocation base that is not directly traceable to a cost object. For example, the cost of plant depreciation is an indirect allocation base for the cost of a product.

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