Assign Cost Buckets to Cost Template

Explanation

Use this activity to assign the cost buckets of your choice to a new cost template.

Prerequisites

• A cost template must have been created.
• Cost buckets must have been defined.

System Effects

This activity will assign the cost buckets of your choice to the selected cost template.

Window

Cost Template

Related Window Descriptions

Cost Template
Cost Template/Cost Template

Procedure

1. Open the Cost Template window.
2. In the Template list, select the cost template that you want to use as a source for the new cost template.
3. Click the Cost Template tab and create a new record.
4. In the Bucket ID field, select the cost bucket you want to assign to the cost template. Click List and use the List of Values to select from available cost buckets.
5. If you want to use this cost bucket for capturing manufacturing level cost, select the Manufacturing Cost check box. This is valid for the cost rollup process as well as for the shop order costing flow.
   
   Note 1: If you want to capture Material Overhead cost for sub-assemblies, you should enter a Material Overhead cost bucket for which the cost element source ID is 500 (Total Cost). Then select the Manufacturing Cost check box. Ignore the warning message. The Material Overhead cost will show up as level cost at the parent level.
   
   Note 2: If you want to capture Material Overhead for purchased parts which use the weighted average inventory valuation method or where the inventory part cost level is set to Cost Per Serial, you should enter a Material Overhead cost bucket for which the cost element source ID is 500 (Total Cost). The Material Overhead cost will show up as level cost at the parent level.
    
6. If you want to use this cost bucket for capturing external acquired cost, select the External Acquired Cost check box. This is valid for the cost rollup process as well as for the purchase order arrival process (capturing Delivery Overhead cost).
7. If you want to, you can change the default cost types values in the Sunk/Relevant Cost, Direct/Indirect Cost, or Fixed Variable Cost columns. You can also change the Bucket Frequency. Changing any of these values will cause the Override Flag check box to be marked.
8. Repeat steps 3-7 for each cost bucket you want to assign.
9. Save the changes.