Assign Activity to Cost Center

Explanation

Use this activity to assign an activity to a cost center. This task, to be performed by a system administrator or equivalent person, is mandatory for activity-based costing (ABC).

Prerequisites

This activity has the following prerequisites:

• A cost center with connected costs must have been created. 
• An activity must have been created.

System Effects

As a result of this activity:

• Activities are defined for driving the costs for a specific cost center.

Window

Cost Center

Related Window Descriptions

Cost Center
Cost Center/Cost Center Activities

Procedure

To perform this activity, follow these steps:

1. Open the Cost Center window.
2. In the Cost Center field, query for the cost center whose activities you wish to assign.
3. Click the Cost Center Activities tab.
4. Create a new record.
5. In the Cost Activity ID field, click List and select the activity you wish to connect to the cost center from the List of Values.
6. In the Activity Cost Factor field, enter the percentage of the cost center costs for the activity.
7. In the Est Driver Qty field, enter the quantity to receive the activity cost driver rate.
8. Repeat steps 4-7 for each activity you want to assign to the cost center.
9. Click Save.