Functioal area from cost element

[former_member424291]

Hello,

We did a book for an Account 100000 Consumption packaging materials on cost center AB1000. This cost center has the Funktional area Z10. The account 100000 is created as cost element and is having functional area Z09.

Question.

1) what is the purpose of giving functional area in cost element

2) why does the system picks functional area from cost element and not from the cost center.

BR,

Zulfikar

[Former Member]

As per Std. SAP, there is No provision of putting Functional Area within Cost Element Master

Thanks & Regards...

Ameya...

[former_member424291]

We can enter functioal area in cost element.

BR,

Zulfikar

[Former Member]

The purpose of giving function area in cost element master data is for uniform master data. Since several

company codes can be assigned to a controlling area, the functional area field is assigned to the chart of accounts area of the G/L account and cost element master data. This ensures that the same functional area is entered in the G/L account and its related cost element. The functional area can be entered in the master record of the G/L account if cost of sales accounting is active or inpreparation for at least one company code.

Derivation rules of Funcation Area

1. You post to a G/L account for which no cost element exists. The system derives the functional area based on the G/L account. Example: Depreication posting

2. You post to a G/L account for which a cost element exists (primary cost element). The system derives the functional area from GL account/Cost element. Example Administration expenses posting

3. In Controlling, you post to a cost element for which no G/L account exists (secondary cost element)

The system derives the functional area based on the cost element only.

So, if the funcational field in the master data is blank, then system picks funcational area from the cost center

Regards

RAdha