Business Areas correspond to specific business segments of a company, and
may cut across different Company Codes (for example, product lines). They can
also represent different responsibility areas (for example, branch units). The
Business Areas are optional in SAP.
The financial statements drawn per business area are for internal
reporting purposes. You need to put a check in the check box in the
configuration for the company for which you want to enable business area
financial statements. When transactions are posted in FI, you have the option
of assigning the same to a Business Area so that the values are properly
captured for internal financial statements.
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