How do i allocate dividend and mutual fund income when i lived in two different states

It depends.  If you can provide your state information that would help us better understand your tax situation.  In terms of the overall process, you will want to complete your federal return first.  Then move to your non-resident state.  Lastly, prepare your resident state tax return.  As you move through the screens in the state section of TurboTax, you may likely see screens where you can allocate the gross income--in this case dividend and mutual fund income--to the state were you were resident at the time you received the mutual fund/dividend income.  These allocation screens are how TurboTax allocates income to various states. 

You can allocate income based on the percentage of time you were in a particular state.  For example, if you lived in a state for six months, then you could allocate one-half of the mutual fund/dividend income to that state.  

@Crisgf