Asset Cost Allocation Methods

The asset cost allocation method determines how indirect or common costs incurred on a project are allocated to multiple assets.

You can specify an asset cost allocation method to enable Oracle Fusion Project Costing to automatically allocate unassigned asset lines and common costs across multiple assets. Unassigned asset lines typically occur when more than one asset is assigned to an asset grouping level.

Projects and project templates inherit a default asset cost allocation method from the associated project type. You can override the default at the project level. If you use capital events to allocate costs, then you can also override the asset cost allocation method at the event level.

Asset Cost Allocation Methods

The following table describes the available asset cost allocation methods.

Method	Basis of Cost Allocation
Actual Units	Number of units defined for each asset
Current Cost	Construction-in-process (CIP) cost of each asset
Estimated Cost	Estimated cost of each asset
Standard Unit Cost	Combination of the standard unit cost and the number of units defined for each asset
Spread Evenly	Equal allocation of cost to each asset