This step is required, even if you are planning to print all of your project reports using target rates.

Enter target rates on the Pool Rates subtask of the Manage Cost Pools screen. The Compute/Print Pool Rates screen does not update these target rates — only actual rates are updated. However, this program also allocates service center costs, which can become direct cost and therefore need to be burdened by target rates.

You can skip this step if:

• You do not have any service centers.
• You are sure that your service centers are not directly allocated to any projects.
• You plan to print all of your project reports using target rates.
• You plan to post revenue at target.
• You do not expect to post any variances.

However, it is probably safer and more practical to compute the pool rates anyway.