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What are cost objects?
michael_fico Fri Mar 23, 2012 6:29 pm
A cost object means a cost or a revenue collector wherein all the costs or
revenues are collected for a particular cost object. Examples of this could
be cost center, production order, internal order, projects, sales order
So whenever you look at any controlling function the basic thing you
need to ask yourself is What is the cost element(expense) I want to
control and what is the cost object ( i.e. either the production order, sales
order, internal order) I am using to control this cost element. Sounds
confusing read it again it is very simple
revenues are collected for a particular cost object. Examples of this could
be cost center, production order, internal order, projects, sales order
So whenever you look at any controlling function the basic thing you
need to ask yourself is What is the cost element(expense) I want to
control and what is the cost object ( i.e. either the production order, sales
order, internal order) I am using to control this cost element. Sounds
confusing read it again it is very simple
michael_fico- Posts : 163
Join date : 2012-03-23
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