Follow this example to understand complex allocation calculations based on the allocations definition.

In this example, let's assume we have a total of $10,000 for Software to be allocated across four Entities: 

  • Houston - Manf
  • Los Angeles
  • New York
  • San Francisco

The original amount is first allocated to Houston - Manf.

The allocation rule specifies that:

  •  20% goes to Houston - Manf
  • 10% to Los Angeles
  • 40% to New York 
  • and the remaining 30% to San Francisco 

The rule allocates, Houston - Manf would receive $2,000, Los Angeles would get $1,000, New York would get $4,000, and San Francisco would be allocated $3,000. 

This allocation ensures that each Entity receives the appropriate amount for its needs.

Example of allocation calculations