ABC Expense Category Concepts

Use expense categories to summarize and break down ABC costs for inquiries and reports.

ABC expense categories are user-defined. To receive maximum inquiry/reporting benefits, you need to review the list of activity codes in ABC Code Maintenance and assign each one to an appropriate expense category. Because G/L pools roll up into expense categories, you first assign the activity codes to a G/L pool, and then the G/L pool to an expense category. G/L pools can apply to more than one expense category.

When you calculate your ABC costs for each activity, the totals for the corresponding expense category display in inquiries and reports.

Expense Category Setup

Setting up ABC expense categories involves:

Defining ABC Expense Categories
Assigning G/L Pools to Expense Categories