Cost Center

Cost centers are used to track WHERE costs occur in the

organization. As costs are incurred, they are assigned or
posted to the appropriate cost center. The posting and
assignment of costs to cost centers is a critical step in using the
CO module. Frequently, costs like rent, computer exp, utilities
etc. have to be allocated to cost centers to provide accurate
cost reporting.Cost centers are organized in a Standard
Hierarchy.
Steps for Creating Cost center
There is followong path for selecting T- code for cost center
creation.

T- code- KS01

1) Enter the controlling area i.e 1000 and press enter key.

2) Enter the cost center code (Including alpha and

numerical).
3) Enter the valid date and period.
4) Press enter key or click on master data.

5) Enter the name and descrition.

6) User responsible not required.
7) Enter the person responsible for particular cost center. We
can keep the person degination.
8) Select the dept name and cost center category.
9) Enter the hierarchy area.
10)
Enter the profit center is compulsory.
11)
Click on control button.

12)

Click on record qty.

13)
Click only actual revenues and plan revenues under
the lock area.
14)
Click on commitment updates.
15)
We can enter the address and communication details
for particular cost center to click on address and
communication button.
16)
Click on save button.
17)
To change the cost center details T- Code- KS02.

18)
Enter the cost center name and press enter data or
click on master data.
19)
Under histroy button there is one option for change
document , under this option we can see the changes
details for particular cost center.
20)
To display the cost center details T- code- KS03.
21)
To lock the cost center T- Code- KS02.

22)
Click on control button and click on all option under
the lock option.
23)
For delect cost center the T- code KS04.