Define the allocation target

Complete the following steps to define the allocation target.

Procedure

  1. Select the target Companies. Target companies can be any companies, including the source company and group adjustment companies. However, a group company or a legal unit can not be a target company. Companies that are sold should not be selected, as that would stop the allocation calculation.

    If you have selected the Fixed Coefficient method on the Weight tab, you must specify the percentages to use for distribution on each company.

  2. Select a target company Account. This is the account where the allocation is booked on the target companies. This account can not be an intercompany, AFC, or summation account. This account should be at the same level or higher in the dimension tree compared with the source accounts.
  3. Select a Source Company Account. This is the account where the allocation is booked on the source company. This account can not be a summation, AFC or intercompany account.
  4. Select the Sign for the allocation booking. The default is - for the source and + for the target.
  5. Select the Manual Journal Type to which the allocation will be booked. The default is Repo.Note: The allocation will automatically be booked on the pre-defined automatic journal type 37.
  6. Define the Distribution Method for extended dimensions. The available distribution methods are as follows:
    • According to Source, which books amounts on extended dimensions according to the source data.
    • According to Reference, which books amounts on extended dimensions according to the reference data.
    • Specific, which you use to book amounts in specific dimension combinations. If you select this option, you define a dimension combination where you put all transactions for all target companies.
  7. Click Save to save your allocation definition.
    Note: When using distribution method According to Reference, the source amount is first allocated to the target companies according to the relative weight on the reference account. In the next step, the amount on each target company is allocated on the extended dimensions according to their relative weight in the reference account.