INTERVIEW QUESTIONS SAP R/3 SAP MODULES DETAILS

Question: what is the difference between business area and profit center

Answer: Business area is where the total business is valuated as a whole

Whereas Profit centre is an area where the company/work place allows the outside agency to use its machinery for external profits (eq: A CNC machiine which can run 24 hrs a day is utilised in our company for 15 hrs and the balance 9 hrs is let out for addition to the company's profit) is known as Profit Centre

Business area is where the total business is valuated as a whole

Whereas Profit centre is an area where the company/work place allows the outside agency to use its machinery for external profits (eq: A CNC machiine which can run 24 hrs a day is utilised in our company for 15 hrs and the balance 9 hrs is let out for addition to the company's profit) is known as Profit Centre
Source: CoolInterview.com

Business area is an optional,and also it is maintained at cliant level.We can get BA wise also financial Statements.

we can maintain profit center
1.Product wise
2.Segment wise
3.Geographical location wise
And also we can Financial statements above categary wise.. Source: CoolInterview.com

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