Example: Indexed Allocations
In this example, the system takes the end-of-year balances in the AA ledger in accounts 6110–6320 and multiplies each by 1.1 (a 10 percent increase over the current year's balance). The results are placed in the same account numbers in the BA ledger for the next year:
Description |
Values |
---|---|
Year-to-date account balance |
50,000 |
Index or rate |
1.1 |
Budget to be distributed for next year |
55,000 |