Financial Administration › Financial Matrices › Cost Plus Codes and Rules › How to Enable Cost Plus Codes › Create Cost Plus Rules and Add to Cost Plus Codes

Create Cost Plus Rules and Add to Cost Plus Codes

The cost plus rules you add to the cost plus code specify the conditions and amounts that are applied for markups. Cost plus rules are added to cost plus codes to make up cost plus. Cost plus is used in an existing cost/rate matrix.

To create a cost plus rule

  1. Select Define Matrix from the Finance menu.

    The Define Matrix: Cost Plus Codes page appears.

  2. Select the cost plus code to which you want to create and add a cost plus rule.

    The Cost Plus Code Properties page appears.

  3. Click New.

    The Cost Plus Rule page appears.

  4. Complete the following fields:
    Units From

    Defines the beginning value for which this rule should be invoked.

    Multiplier

    Defines the type of markup to apply for the actual or standard cost.

    Default: Percent

    Burden

    Defines the type of markup to apply to burden.

    Default: Percent

    Overhead

    Defines the mark-up variable for overhead.

    Default: Percent

    Sequence
    Applies To
    To

    Defines the end of the range for invoking the rule.

    Multiplier Amount

    Defines the percentage amount for the multiplier markup. When this cost plus rule is invoked, the multiplier amount is included in the calculation for the total transaction amount.

    Default: 0

    Burden Amount

    Defines the percentage amount for the burden markup. The burden equals cost (actual or standard) times the burden amount. When this cost plus rule is invoked, the burden amount is included in the calculation for the total transaction amount.

    Default: 0

    Overhead Amount

    Defines the percentage amount for the overhead markup. Overhead is the operational costs of a business and equals cost (actual or standard) times the overhead amount. When this cost plus rule is invoked, the overhead amount is included in the total transaction amount.

    Default: 0

  5. Click Submit.