Create Overhead Adjustments

Explanation

Use this activity to create overhead adjustments.

Prerequisites

This activity has the following prerequisites:

• Cost sources for which the overhead adjustments should be done must be defined.
• Overhead accounting year must be used on the company.
• The basic data for adjustment reason must be entered.
• To use accounting year end date as posting date, the inventory value statistics must not have been calculated for the accounting year date. Note: This does not apply to work order labor and project labor overheads.

System Effects

The effect of the overhead adjustment can be seen as additional postings added to the affected transactions. It is also possible to review the total effect of on adjustment by searching for a specific periodic OH adjustment ID in the window Distribution and Manufacturing Postings Analysis.

Window

Create OH Adjustments

Related Window Descriptions

Create OH Adjustments
OH Adjustments

Procedure

1. Open the Create OH Adjustments dialog box.
2. Enter the company for which you would like to apply the overhead adjustment.
3. Define for which accounting year the overhead adjustment should apply.
4. Enter the Dating of Posting method that should be used to date the additional postings that will be added as part of the overhead adjustment process:
   • Current Date: Uses today's date on additional postings added.
   • Accounting Year End Date: Uses the last date on the accounting for which the overhead adjustment is applied.
   • This option can only be used when overhead adjustments are applied on a previous accounting year
5. In the row section, create a new record
6. Enter the OH type for which the overhead should be applied
7. Enter the cost source ID for which the overhead should be applied
8. Enter the adjustment percentage that the overhead should be adjusted with. Note that negative values up to -100% can be used.
9. Enter the adjustment reason code that is applicable for this adjustment row
10. Optionally enter a note that explains the reason behind the adjustment
11. If several adjustments should be applied at the same time, enter new records starting at item 5 above
12. Trigger the adjustment process by clicking OK. This will start a background job.