question related to business area

[Former Member]

hello ,

can u tel me what is business area and why we assign it with sales area....

[former_member209761]

Dear Chhaviii ,

Please read the forum rules before posting the issues

Please search the forum before posting the issues

Thanks & Regards,

Hegal K Charles

[Former Member]

Hi,

Business Areau201D is an organizational unit of financial accounting that represents an area of operations within an organization. The value changes recorded in FI are allocated in Business area.

Technically, In any Enterprise, Business area is a unit, that groups products and market combinations as homogeneously as possible for the purpose of developing unified business policy.

We assign it with u201CSales Areau201D To monitor and for creating financial statements (MIS - business area wise), and these statements can be used for internal reporting purposes.

Regards

DSR

Edited by: D.Srinivasa Rao on Nov 22, 2011 10:34 AM

[Former Member]

Hello,

Business Areas in SAP are used to differentiate transactions originating from different points/lines/locations in business.

As per SAP, The intergration of Sales are to Business are help in:-

You can charge the amounts that arise from the business transactions of several sales areas to one business area.

You can assign a business area to a sales area and charge the amounts that arise from the business transactions of the sales area to this business area.

Once you assign the business are to sales area:-

The system then finds the corresponding business area for account assignment using the sales area for:

Revenue postings

Value postings due to material movements

Regards,

SAM