Allocation Definitions

Allocation Definitions are created to allocate defined costs from one or more source costs centers to one or more destination cost centers and entities. Allocation Definitions can be defined in a variety of levels to determine how detailed the costs are allocated in the period end process. Some examples of typical types of allocations that are defined would be as follows:

• Cleanout Costs
• Service Crew Costs
• Administration Costs

In order to allocate these costs, there are a variety of allocation basis that can be used to determine the allocated costs. The pre-defined list of basis is located in Admin> Business> General> Period End> Allocations> Methods. The following is a list of some of the available methods.

Create Allocation Definitions

Depending on the selected method, the options related to the source and destination cost centers will be different, however the process of creating the allocation definition will be the same.

Allocation Definition

The Allocation Definition grid displays several fields that configure the initial parameters for the task.

1. Allocation Method: Drop-down field that selects the basis of the allocation based an a pre-defined list of methods.
2. Task ID: Numerical identifier that identifies the task. It is important that the Task ID is a value less than any tasks which will require the allocation definition as a predecessor taskA predecessor task is defined as a task that must be run prior to the calculation of a dependent task. If a predecessor task is required to be recalculated, the journals for all dependent tasks will be deleted and the tasks will be required to be recalculated..
3. Allocation Name: Description for allocation definition that will appear in the list of period end tasks.
4. Active: The allocation definition will default as Active. If the task is no longer required, the active flag can be unchecked.
5. Allocation Mode: This field has two options available for selection. Default is set to Accounts Aggregate.

   • Accounts Detail - the journal transactions for the allocation are created for each account within the selected source. Each expense account will be credited so that the net amount remaining in the account is zero.

1. • Accounts Aggregate - the journal transactions for the allocation are created to an single account. The amounts will remain in the expense account with a single account credited for the entire balance of all accounts.

   Expense Account - Debit	Allocation Account - Credit
   ADMIN-OPS-LABOR-HOURLY-IN	ADMIN-OPS-ALLOC-HAUL-OUT
   ADMIN-OPS-FUEL-DIESEL-IN	ADMIN-OPS-ALLOC-HAUL-OUT
   ADMIN-OPS-MAINTENANCE-EQUIP-IN	ADMIN-OPS-ALLOC-HAUL-OUT

6. Source Location Group: required field that identifies the Location account code for the source cost center.
7. Source Stage: required field that defines the Stage account code for the source cost center. If the Source Location Group and the Source Stage Group are defined as ADMIN-OPS, the allocation definition will select the balances for all accounts for the source cost center that begin with ADMIN-OPS. Optionally, the accounts can be further defined by the following fields.
8. Source Cost Object: optional field where the Cost Object can be defined if all accounts with the defined object will be selected for the allocation. If the parameters are defined as ADMIN-OPS-FUEL, the allocation definition will select the amounts for all accounts that begin with those three segments for the defined cost center. For  thjs example, the allocation would pick up all FUEL accounts that may possibly have the elements DIESEL, GAS, PROPANE.
9. Source Cost Element: optional field where the Cost Element can be defined if all accounts with the defined element will be selected for the allocation. If the parameters are defined as ADMIN-OPS-FUEL-GAS, the allocation definition will select the amounts for all accounts that begin with those four segments for the defined cost center. For  thjs example, the allocation would pick up all FUEL-GAS accounts that may possibly have the user accounts of PUR, INTRA, USAGE.
10. Source User Account: optional field where a single account is selected for the allocation. If the parameters are defined as ADMIN-OPS-FUEL-GAS-PUR, the allocation definition will select the amount for only that account for the allocation definition.
11. Notes: text field to enter any details that may relate to the allocation definition.

Credit Accounts

Credit Accounts defines the account that is to be credited in the allocation definition journals. The Location and Stage are defined in the Allocation Definitions section. If the Accounts Detail mode is selected, these accounts will not be defined.

1. Credit Cost Object: optional field to define the Cost Object that will be credited in the allocation journal. If the field is not defined, the allocation definition will credit the Cost Object form the source cost center account.
2. Credit Cost Element: optional field to define the Cost Element that will be credited in the allocation journal. If the field is not defined, the allocation definition will credit the Cost Element form the source cost center account.
3. Credit User Account: optional field to define the User Account that will be credited in the allocation journal. If the field is not defined, the allocation definition will credit the User Account form the source cost center account.

Filter Definition

The Filter Definition defines the source and destination cost centers for the allocation. Depending on the allocation method selected, there can be a variety of filters specified.

1. Source Cost Centers: list of defined cost centers where the source cost center can be selected. One or more cost centers can be selected as the source for amounts.
2. Destination Cost Centers: list of defined cost centers where the destination cost centers can be selected to receive the allocated costs. One or more cost centers can be defined to receive the allocation amounts.

The remaining fields are specific to the PROTEIN - Feed Deliveries. The details for each allocation method can be viewed by clicking on method below.