COMPUTE BURDEN COST

Use this screen to control the allocation of indirect costs to projects. This is the final step in collecting costs that are used in the Compute Revenue process (Projects » Cost and Revenue Processing » Revenue Processing) and that are printed on the Project Status Report. For cost at Actual or Target rates to be accurate for a project, the normal process should include the Compute & Print Pool Rates screen (Projects » Cost and Revenue Processing » Cost Pool Processing & Reporting), the Post Pool Journal screen (Projects » Cost and Revenue Processing » Cost Pool Processing & Reporting), and computing Burden Cost.

This process creates the PROJ_SUM and PROJ_BURD_SUM tables for a given fiscal year/period/subperiod. All processes after this point will use these tables for project information. It is very important that these tables contain the most current information. Be sure to run this process after posting all transactions.

Since the base amount for any given pool is affected by 1) the posting of Service Center cost and 2) the motion of indirect cost allocations between pools, you should complete all three steps outlined in order for cost at Target rates to be accurate.

This process uses the actual, target, and cost of money rates contained in the Pool Rates subtask of the Cost Pools screen (Projects » Cost and Revenue Processing » Cost Pool Setup), the override rates in the Project Burden Cost Ceilings screen (Projects » Project Setup » Project Ceilings), the amounts posted to the G/L during the posting of the Pool Journal for each account/organization combination, and the data contained in the Rate Application table.

The system derives current subperiod and period-to-date burden costs by multiplying the current subperiod and period-to-date G/L costs for all accounts in the Rate Application table by the current period rate from the Pool Rates subtask of the Cost Pools screen. The system derives year-to-date burden cost by either 1) multiplying the YTD G/L costs for all accounts contained in the Rate Application table by the YTD Rate from the Pool Rates subtask, or 2) calculating the sum of all current subperiod burden cost for the fiscal year to date, depending on the selection in the Apply Burdening based on group box in the Corporate Settings subtask of the Project Settings screen (Projects » Project Setup » Controls).

The application uses override rates from the Project Burden Cost Ceilings screen to replace YTD Target cost. Before this process is completed, all of the direct amounts and burden amounts for each Project, for both Actual and Target rates, are used to update the table from which the Project Status Report is printed. Therefore, until this process is completed, the Project Status Report will not contain accurate data.

The Cost of Money calculation for this version does not use O/H COM (Overhead Cost of Money) in the calculation of G/A COM (General and Administrative Cost of Money).

Complete this process after posting all transactions, computing pool rates, and posting the pool journal, and before printing the Project Status Report and computing revenue.

Select Project

Use this group box to select the projects for which you wish to compute burden costs.

During your period end closing process, you must compute burden cost on all projects at least once.

Range Option

Use this drop-down list to select the range of projects to include. Valid options are:

From

Enter, or use to select, the starting project number for the range you want to include. If you select All or From Beginning in the Range Option field, this field will be inactive.

To

Enter, or use to select, the ending project number for the range you want to include. If you select All, One, or To End in the Range Option field, this field will be inactive.

Select Subperiod

The selected Fiscal Year, Period, and Subperiod must be open for the compute process to occur.

Range Option

Use this drop-down list to select the range of subperiods for computing burden cost. Valid options are:

From Fiscal Year, From Period

Enter the fiscal year and period or select one from the drop-down list.

From Subperiod

If you select All or From Beginning in the Range Option field, the From Subperiod field will be inactive. If you select a subperiod, the field to the right will display the date of the selected subperiod.

To Subperiod

If you select All, One, or To End from the Range Option field, the To Subperiod field will be inactive. If you select a subperiod, the field to the right will display the date of the selected subperiod.

Compute Burden Cost

Click the Compute Burden Cost icon on the toolbar to start the burden process.

Tables Created

PROJ_SUM

PROJ_BURD_SUM