Allocate the monthly utility expense to the manufacturing cost centers based on a predefined percentages according to use.

Review Actual Line Item Report

From the SAP Easy Access Screen: Accounting è Controlling è Cost Center Accounting è Information System è Reports for Cost Center Accounting è Line Items è Cost Centers: Actual Line Items

Enter the following:

• Cost Center: A010 to P010
• Cost Center Group: Leave blank
• Cost Element: 7800_ _ (Rent Expense)
• Click Execute

Then review the report that is displayed

Create G/L Document Entry

From the SAP Easy Access Screen: Accounting è Financial Accounting è General Ledger è Document Entry è Enter G/L Account Document

Enter the following:

• Document Date: Today
• Currency/rate: USD
• Account: 7500_ _ (Utilities Expense Account)
• D/C: Choose Debit
• Amount in Doc Curr: $25,500
• Scroll to the right and assign Cost Center: A060 (this example)

On the next line enter:

• Account: 1000_ _ (Bank account)
• D/C: Choose Credit
• Amount in Doc Curr: $25,500

Click enter button

Use the Simulate button to see if posting are correct

Then click Save

Record the document number

Create Assessment Cycle

In this particular case we know that our utility charges are exclusively attributable to the manufacturing cost centers. So we are able to assess the utility charges assessed from the Administration cost center to the Manufacturing cost centers.

From the SAP Easy Access Screen: Accounting è Controlling è Cost Center Accounting è Period End Closing è Single Functions è Allocations è Assessment

Enter the following:

• Period: 01 to 12
• Fiscal year: 2003
• Then from the top menu bar:
• From the top menu bar select: Extras è Cycle è Create
  

Enter the following

• Cycle:                ASSM_ _
• Starting date:            01/01/2003

Click enter.

1. Text:                Monthly assessments
2. Uncheck Iterative box. IMPORTANT: Box MUST be unchecked!
3. Click the Attach segment button. Then click the Segment Header Tab:
   
4. Drop down and select or enter the following:
5. Assessment CEle (cost element):    800_ _ _ (Assessed costs)
6. In sender values box, change the sender rule to:            Posted amounts
7. Note: The utility expense could be allocated by the rates that are charged, however, this feature must be set up else is beyond the scope of this configuration example.)
8. In the receiver tracing factor box, change the receiver rule to:    Fixed percentages
9. Click the Sender/Receiver tab:
10. Sender:     Cost center        A060
    1. Cost element        7500_ _ (Utilities expense account)
11. Receiver:    Cost center group    MFG_ _(Manufacturing group number)
12. Click the Recvr. Tracing factors tab.
    
13. Assign % of each cost center’s utility usage for the assessment cycle for each of the three manufacturing centers. Then click Save.

Click back button to return to the “Execute Actual Distribution: Initial Screen” saving cycle when requested.

Enter cycle:        ASSM_ _, then click the execute button to run a test assessment cycle. Click back, then once the assessment cycle can be run without errors.

Remove the test checkmark and execute the assessment cycle one final time.

A successful test should create an error and warning free list as is shown: