How are common costs allocated?

Costs captured under common cost tasks are allocated among assets based on the asset cost allocation method that is associated at the project level.

However, you can override the asset cost allocation method at the capital event level, if the project is enabled for capital event processing.

The way common costs are allocated differs based on the common cost task structure.

If the common cost task is a top task, then costs captured under that task are allocated among assets, which are defined for the project and placed in service.

If the common cost task is the lowest task, then costs captured under that task are allocated among assets, which are assigned at the top task or lowest task in the same task hierarchy. If no asset is assigned for the task, then the application generates asset lines but leaves them as unassigned asset lines. You must assign the unassigned asset lines and then transfer the asset.