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There are five seven allocation methods for the transfer of the total net costs of a Source Job to a range of Destination Jobs.

  • A Fixed % allocation
  • An allocation based on the Costs in the destination jobs
  • An allocation based on the Hours in the destination jobs
  • An allocation based on an Output schedule
  • An allocation based on the Sales in the destination jobs
  • An allocation based on the total Plant Hours used in the destination jobs
  • An allocation based on the total Profit Centre costs in the destination jobs

FIXED
The proportion of the total net costs from the Source Job to be transferred to each To Job is fixed in accordance with the stated measure.

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The proportion of the total net costs from the Source Job to be transferred to each To Job is in proportion to the actual Job Invoices on each Destination Job. The Allocation Basis defines which sales are used to determine this proportion (e.g. Month, YTD).

PLANT HOURS

The proportion of the total net costs from the Source Job to be transferred to each Job is in proportion to the Plant hours used on each Destination job. The Allocation Basis defines which costs are used to determine this proportion (e.g. Month, YTD).

PROFIT CENTRE

The proportion of the total net costs from the Source Job to be transferred to each Job is in proportion to the total costs of the Profit Centre for each Destination job. The Allocation Basis defines which costs are used to determine this proportion (e.g. Month, YTD).