Cost Allocation Window

Defines allocation rules to allocate costs and revenues between cost types, cost centers, and cost objects. Each allocation consists of an allocation source and one or more allocation targets. For example, all costs for the cost type Electricity and Heating are an allocation source. You want to allocate the costs to the cost centers Workshop, Production, and Sales, which are three allocation targets.

Important

The allocation source determines defines which costs should be allocated. You define the allocation source on the General and Statistics FastTabs.

Important

The allocation targets determine where the costs should be allocated. You define allocation targets on the Lines FastTab.

Important

Allocations to cost centers or cost objects differentiate themselves only in that either the target cost center or the target cost object is defined, but not both. The cost center is allocated before the allocation to the cost object. You control the allocation order by defining levels in the Level field.

Important

Defining the allocation base is important. The allocation base can be either static or dynamic. The dynamic allocation base is based on changeable values, such as the number of employees in a cost center or items sold of a cost object in a certain time period. The static allocation base is based on a definite value.

General FastTab

Field	Description
ID	Identifies the allocation and establishes the connection to the allocation targets. Microsoft Dynamics NAV uses the ID that follows the ID that appears in the Last Allocation ID field in the Cost Accounting Setup window.
Level	Defines a level as a number between 1 and 99. The allocation posting follows the order of the levels. For example, you can define a level to allocate the costs from the Administration cost center to the Production cost center before the costs from the Production cost center are allocated to the Workshop and Vehicle cost centers.
Valid From	Defines the validity period for the allocation. All allocations are processed when the allocation dates fall in the validity period. If you do not define a date, all dates are valid.
Valid To	Defines the validity period for the allocation. All allocations are processed when the allocation dates fall in the validity period. If you do not define a date, all dates are valid.
Variant	An identifier that is used to group allocations. When you run the allocation, you can use afilter to select only the allocation definitions that you want. Leave this field empty if you use only one variant.
Cost Type Range	Defines a filter to establish whichcost types should be allocated. If all costs for acost center are allocated, no range is defined.
Cost Center Code	Defines the cost center with costs that must be allocated.
Cost Object Code	Defines the cost object that has costs that must be allocated. This field is usually empty because cost objects are rarely allocated to other cost objects.
Credit to Cost Type	The costs that must be allocated are credited to the source cost center. The credit posting is posted to the cost type that you enter in the field. Note It can be helpful to set up a helping cost type to later show the allocation postings in reporting.
Blocked	Select to block the allocation.

Statistics FastTab

Field	Description
Allocation Source Type	Defines whether the allocation for all allocations should be used or if the allocation should be used only for actual or budgeted costs.
Last Date Modified	Shows when the allocation source was last used.
User ID	Shows the user ID who last used the allocation source.
Comment	Enter a description of the allocation.
Total Share	A FlowField that contains the sum of the shares of the allocation targets.

Lines FastTab

Field	Description
Target Cost Type	Determines which cost typethe allocation is debited to.
Target Cost Center	Defines which cost center the allocation should be debited to. Important Either target cost center or target cost object can be filled in, not both.
Target Cost Object	Defines which cost object the allocation should be debited to. Important Either target cost center or target cost object can be filled in, not both.
Allocation Target Type	Determines whether all costs of the allocation source should be allocated or whether a set share amount or a percentage of the share should be allocated.
Percent per Share	If the Allocation Target Type is Percent per Share, enter the percentage.
Amount per Share	If the Allocation Target Type is Amount per Share, enter the amount.
Base	Define whether the allocation uses the static method or the dynamic method.
Static Base	The values in the field and in the Static Weighting field are multiplied and carried over to the Share field. For example, you define that the base of 1000 square feet for a workshop should be weighted with a factor of 0.6.
Static Weighting	The values in the field and in the Static Base field are multiplied and carried over to the Share field. For example, you define that the base of 1000 square feet for a workshop should be weighted with a factor of 0.6.
Share	If you use the static allocation method, the field contains a definite value, or the value in this field is calculated using the values in the Static Base and Static Weighting fields. If you use the dynamic allocation method, Microsoft Dynamics NAV calculates the share using the dynamic base.
Percent	The share is calculated in a percentage rate based on all other allocation targets.
No. Filter	Fill in the field with the allocation base if you use the dynamic allocation method. Leave it blank if you use the static allocation method.
Cost Center Filter	Fill in the field with the allocation base if you use the dynamic allocation method. Leave it blank if you use the static allocation method.
Cost Object Filter	Fill in the field with the allocation base if you use the dynamic allocation method. Leave it blank if you use the static allocation method.
Date Filter Code	Fill in the field with the allocation base if you use the dynamic allocation method. Leave it blank if you use the static allocation method.
Group Filter	Fill in the field with the allocation base if you use the dynamic allocation method. Leave it blank if you use the static allocation method.

Tip

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See Also

Other Resources

How to: Set Up Allocation Source and Targets
Setting Filters for Dynamic Allocation Bases
Scenario Example: Defining Static Allocations Based on Allocation Ratio
Scenario Example: Defining Dynamic Allocations Based on Items Sold
Cost Allocation
Cost Allocations
Define and Allocate Costs
Manage Cost Accounting
Terminology in Cost Accounting
About Cost Accounting
Set Up Cost Accounting
Transfer and Post Cost Entries