Company 

Definition

The smallest organizational unit for which individual financial statements are created according to the relevant legal requirements. A company can include one or more company codes.

The definition of the company organizational unit is optional.

Use

A company’s financial statements also form the basis of consolidated financial statements.

All of the company codes within a company must use the same chart of accounts and fiscal year. However, each company code can have a different local currency.

To define a company, choose the following in Customizing for the Enterprise Structure: Definition ® Financial Accounting ® Define Company

You must assign your companies to your company codes. To do so, choose Assignment ® Financial Accounting ® Assign Company Code to Company in Customizing for the Enterprise Structure.