Hi
Assigning Cost Centers to Expense/Revenue and COGS Accounts
Note
COGS accounts are relevant only to A/R documents.
When you create an accounting document that involves expense/revenue and cost of goods sold (COGS) accounts (such as deliveries, A/R invoices, returns, A/R invoices + payments, and A/R credit memos), the transaction amounts are:
Posted to the default expense/revenue or COGS accounts
Allocated to the cost centers that are linked to these accounts through distribution rules
The following procedure illustrates how to link different cost centers to the expense/revenue and COGS accounts for all/specific document rows.
Cost Centres
A cost center is a company unit or division that performs a specific business function, such as manufacturing specific products or providing a specific service. The cost center you define here represents the respective division or department, and is used to consolidate the expenses and revenues resulting from the ongoing activity of the specific organizational unit.
With Regards
Balaji Sampath