Allocating Department Costs to Different Accounts Examples

In this example, the cost account includes a segment for the cost center. The payroll manager allocates 35 percent of the costs of the Administration department to the Eastern District Office and the remainder to the Western District Office.

Split Department Costs Between Cost Centers

1. Click Costing of Departments.

2. Search for the Administration department.

3. In the Search Results section, select the row for the Administration department, and click Create Costing Details.

4. In the Create Costing of Departments window, enter the effective date when the costing record takes effect.

5. On the Create Costing for Departments page, in the Cost Account section, click Create.

6. Click Create again to add a second row.

7. In the Cost Accounts table, complete the fields as shown in this table.

   Percent	Cost Center Segment
   35	Eastern District Office Cost Center 814390
   65	Western District Cost Center 816560

   If the total percentage doesn't equal 100, the costing process places the remaining unallocated amount in a default account during the payroll calculation.

8. Click Save.

9. Click Submit.