Functional area and Credit Control area

HI
Dear Guru's
Kindly explain me the ,the differenec between Functional area and credit control
area, with examples.
with regards
Arun Kumar

Hi Arun Kumar,
Functional Area :
It organize your business for cost of sales accounting.  It allow you to segregate and classify different types of costs within one expense account.  For e.g. a single labour account to determine what amount of labour is spent directly on production as compare to sales or hr.
OKBD - Maintain Functional Area
Credit control area:
An organisational unit that represents an area responsible for granting and monitoring credit.
outstanding recievables can spoil the business process. to
control credit limits in sap system we can configure credit
control area.
one company code can hav one credit control area only
but one credit control area can hav many company codes
i.e. u can assign one credit control area to many company
codes.
the relationship is one to many.
Regards,
Haribabu

Similar Messages

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    hi
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  • Difference Between Controllin area and Credit Control area

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  • Assignment of multiple credit control areas to single company code

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  • Credit control area issue.

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  • Linkage of Credit Control Area to Sales Area

    Dear Gurus
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    Hi Aneesh
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  • Credit Controll area

    Dear all,
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    Hi,
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  • Workflow for SD, Credit control

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  • Credit Control Area - SAP ISU FICA or SAP Finance (ERP) ??? and why?

    Hello Experts,
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    Yes, you will be dealing with new transactions and with a different customizing, for example:
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  • User exit for merging the credit limit in different credit control area.

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    Dear Damodhar/All,
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  • FI-AR-CR Customer Sales per Credit Control Area

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  • Credit Control Area - SAP ISU FICA or SAP Finance (ERP) ???

    Hello Experts,
    I was reading about credit control area which is basically - organizational unit that represents an area responsible for granting and monitoring credit. One control area can corresponds to many company code (though vice versa is not true).
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    Yes, you will be dealing with new transactions and with a different customizing, for example:
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    Best regards,
    Cristobal.

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