To distinguish general administration costs from sales costs or R&D costs, it is not necessary to post on separate G/L accounts. The costs from all areas can be posted on the same G/L account but must be distinguished by entering the responsible functional area in the posting document.

Both postings were made on the same G/L account. When creating the Profit and Loss statement, the expenses of the sales area can be distinguished from the expenses of the administration by reading the functional area.

The field functional area must be made ready for posting in the field status variant used for the postings on expense accounts. The functional areas are created by choosing Enterprise Structure ® Maintain Structure ® Definition ® Financial Accounting ®Maintain Functional Area.

The functional area can be entered manually in the document or deducted automatically from the cost center. Substitution rules can be created to deduct the functional areas from the cost center type or any other specification entered in the document line. Choose menu path Financial Accounting ® Financial Accounting Global Settings ® Company Code ® Prepare cost of sales accounting.

For more information, please see the standard documentation on cost of sales accounting in SAP.