allowances

Allowance

1. See: Allowance method.

2. See: Capital allowance.

3. See: Allowance for depreciation.

4. See: Allowance for doubtful accounts.

5. See: Withholding allowance.

6. See: Mileage allowance.

Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

allowances

1. the additional time which is added to the ‘basic time’ allowed for the completion of a particular work task in order to calculate a ‘standard time’ for that task. These include:
   1. Relaxation allowances, which are made to take account of the mental and physical needs of workers, who require rest periods;
   2. contingency allowances which are made to cover the unforeseen circumstances such as the extra work caused by defective machines or substandard materials;
   3. interference allowances which are made to take account of nonproductive or IDLE TIME caused by delays in materials, machine breakdowns and machine SET-UP TIMES. See WORK MEASUREMENT.
2. the additional raw materials or components which are added to the basic materials allowed for the completion of a particular product or subassembly in a PRODUCT SPECIFICATION, to allow for cutting losses and anticipated wastage of materials.
3. tax allowances. See INCOME TAX ALLOWANCE, CAPITAL ALLOWANCE, CORPORATION TAX.

Collins Dictionary of Business, 3rd ed. © 2002, 2005 C Pass, B Lowes, A Pendleton, L Chadwick, D O’Reilly and M Afferson