It appears that Toll Brothers assigns overhead to cost objects in two ways

It appears that Toll Brothers assigns overhead to cost objects in two ways

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    It appears that Toll Brothers assigns overhead to cost objects in two  ways. First, see page 17, the 10-K says “Land, land development and  related costs (both incurred and estimated to be incurred in the future)  are amortized to the cost of homes closed based upon the total number  of homes to be constructed in each community.” In other words, each  home is assigned an equal share of overhead costs. Page 17 also says,  “The estimated land, common area development and related costs of  master planned communities (including the cost of golf courses, net of  their estimated residual value) are allocated to individual communities  within a master planned community on a relative sales value basis.” In  other words, higher priced communities within a master planned  community are assigned a greater portion of master planned community  overhead costs. In master planned communities, the allocation of 
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