Can multiple company codes post into the same cost center?

Dear all,

"Can multiple company codes post into the same cost center?"

I will give a bit of background into the scenario.

Two company codes A & B are assigned to the same controlling area X. They use the same fiscal year variant and the same chart of accounts.

Now in TCode: OKKP, the controlling area is configured with the following selection "Cross Company Code Cost Accounting".

I am new to SAP (FI) and do not understand how can a cost center configured for one company code receive postings from a different company code.

Could anybody kindly shed light on this please.

Regards

Narayanan