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<ManualTopic ID="/baanerp/tp/onlinemanual/000158" xml:lang="en">
	<Header>
		<Title xmlns:ssa="http://www.ssaglobal.com" xmlns:HTML="http://www.w3.org/TR/REC-html40">To use cost objects and cost components</Title>
		<Keyword><Level1>Cost objects</Level1>
			<Level2>categorizing</Level2>
		</Keyword>
		<Keyword><Level1>Control codes</Level1>
		</Keyword>
		<Keyword><Level1>Cost components</Level1>
		</Keyword>
		<Keyword><Level1>Revenue codes</Level1>
		</Keyword>
	</Header>
	<GeneralSection><List><ListIntro><GUIRef href="/baanerp/tp" role="package">Project</GUIRef> provides you with two techniques for categorizing <Link href="/baanerp/tp/glossary/glossary#000003" role="glossary">cost</Link> objects into logical groupings that you can use for analysis purposes.</ListIntro>
			<ListItem>You can group cost objects of the same type by <Link href="/baanerp/tp/glossary/glossary#ControCode.tp" role="glossary">control</Link> code. See To use control codes.</ListItem>
			<ListItem>You can group cost objects of any type by <Link href="/baanerp/tp/glossary/glossary#000360" role="glossary">cost component</Link>. See To use cost components</ListItem>
		</List>
		<Paragraph>To use control codes For analysis purposes, you can group cost objects of the same type under a common parent cost object called a control code.</Paragraph>
		<Paragraph>For example, you could create a materials cost object called Plastering and you could make this the control code for all plastering-related materials. When maintaining your element or activity budget, you would enter that control code on every budget line which contains plastering-related materials.</Paragraph>
		<Paragraph>Later on, you could use the <GUIRef href="/baanerp/tp/ptc/tpptc3200m000" role="session">Generate Budget Cost Analysis (tpptc3200m000)</GUIRef> session to generate reports showing budgeted costs and quantities.</Paragraph>
		<Paragraph>A cost object can function as its own control code.</Paragraph>
		<Paragraph>To use cost components For analysis purposes, you can group cost objects of any cost type under a common cost component code.</Paragraph>
		<Paragraph>For example, you could create a cost component called Plumbing, and enter that cost component on every budget line which contains plumbing-related materials, labor, equipment, subcontracting or sundry costs.</Paragraph>
		<Paragraph>When you create a cost object in the <GUIRef href="/baanerp/tp/pdm" role="module">Project Data Management</GUIRef> module, you can assign it to a cost component. However, when you come to enter the cost object on a budget line of an actual budget (in the <GUIRef href="/baanerp/tp/ptc" role="module">Project Technical Calculation</GUIRef> module), you can assign it to a different cost component.</Paragraph>
		<Paragraph>Depending on the cost control levels you have set in the <GUIRef href="/baanerp/tp/pdm/tppdm0100s000" role="session">General Parameters (tppdm0100s000)</GUIRef> session, assigning a cost component to a cost object can be mandatory.</Paragraph>
		<Paragraph>Later on, you could analyze the actual budget with the <GUIRef href="/baanerp/tp/ptc/tpptc3200m000" role="session">Generate Budget Cost Analysis (tpptc3200m000)</GUIRef> session, and output reports by cost component.</Paragraph>
		<Paragraph>When defining <Link href="/baanerp/tp/glossary/glossary#RevenuCode.tp" role="glossary">revenue codes</Link>, you can assign a cost component to a revenue code, and in this way you can analyze invoiced amounts by cost component.</Paragraph>
	</GeneralSection>
	<RelatedTopics><SectionTitle>Related topics</SectionTitle>
		<RelTopic><Link href="/baanerp/tp/onlinemanual/000008" role="manual">To use standard cost objects</Link>
		</RelTopic>
		<RelTopic><Link href="/baanerp/tp/onlinemanual/000009" role="manual">To use project-specific cost objects</Link>
		</RelTopic>
	</RelatedTopics>
</ManualTopic>
