Example of Creating Burden Cost Bases

You use burden cost bases in burden structures to group the burden cost codes with expenditure types. You create burden cost bases to support unique groupings of burden cost codes and expenditure types.

The following scenario illustrates burden cost bases that are used to group raw costs for the purpose of calculating burdened costs.

Burden Cost Bases

Burden cost bases with the type Burden Cost, shown in the following table, group raw costs to calculate burdened costs. Reports sort cost bases first by the Report Order value and then by the Cost Base name.

Cost Base

Report Order

Cost Base Type

Labor

10

Burden Cost

Material

20

Burden Cost

Expense

30

Burden Cost

Note: The Burden Cost and Other cost base types are predefined.