A cost center is a company unit or division that performs a specific business function.
For expenses and revenues that can be assigned directly to a cost center, you define a direct distribution rule. When you create a cost center, SAP Business One automatically creates a distribution rule. You cannot change this distribution rule. The default values of the distribution rule are as follows:
- Values in the Code and Description fields are the same as they appear in the Cost Center and Name fields, respectively, of the corresponding cost center.
- The dimensions and effective period are the same as those of the corresponding cost center.
- The Active and Direct Allocation checkboxes are automatically selected.
The value of the corresponding cost center is 100, for a total value of 100.