CGS funds edit For specified accounts, CGS will perform an additional funds edit to validate if the account has enough funds to cover both the direct and the indirect costs associated with the transaction. This will insure that the account has enough money and that the expenditure can be billed to the sponsor. For these accounts, CGS will calculate the indirect cost associated with the transaction based on the indirect cost base and rate defined to the account. If the direct transaction is subject to overhead, then the related indirect cost is added to the direct transaction amount and this revised amount is compared against the budget balance available. If the revised transaction amount is less than or equal to the budget balance available, then the transaction is accepted.
Indirect cost is posted weekly to the accounts.
In order for the funds edit to validate all transactions, the system maintains the amount of indirect cost which has been incurred during the week, prior to posting. This amount is subtracted from the available balance before the transaction is compared. Each week these temporary amounts are cleared out as the indirect cost is posted to the accounts. To see how much indirect cost has been incurred by the direct transactions, go to screen 619 and check the Incurred Indirect Cost line in the account summary. Generating indirect cost Indirect cost is generated on a weekly basis and posted to the accounts.