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how to create a cost center

Former Member
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How to create a cost center

Pls help me

Point will be rewarded.

Thanks & Regards

Accepted Solutions (1)

Accepted Solutions (1)

Former Member
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Please follow the following step!

1- Call Transaction code KS01

2-Enter your Controlling area if the system ask otherwise system read the default controlling area

3-enter your cos center Id i.e 4000 & validity period i.e 01.01.1999 to 31.12.9999 , leave other field blank

4- Enter " Name & description of the Cost center"

5-Enterr Person Resonsible i,e " Mr. Vinyak P"

6-enter Department if you have other wise leave the filed blank

7-Enter Cost center category , press F4 u will get all possible category

8-Enter hierarcy area if you already mantained otherwsie call transaction KSH2 or okeon for maintaing the hierarcy area

9- enter your company code

10 Enter funactional area if the field is not gray

11-enter profit center code , if system ask you or if the profit center accounting is activated

hope this will help you

Don't forget to reward point

Former Member
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Thanks for your reply.

And the explaination was really good.

My problem is solved.

I have given the points.



Answers (2)

Answers (2)

Active Contributor
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Former Member
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Cost centre

• Cost center is the location where the costs are incurred. Cost center can be defined based on function requirement, geographical location and / or area of responsibility.

Create New Cost Center Group/Cost Center

Prior to creating any cost centers in your controlling area, you must first complete the standard hierarchy as it is the central cost center hierarchy and acts as the one repository for all the cost centers.

A sample hierarchy :-


Cost Center Group 1

Cost Center 1

Cost Center Group 2

Cost Center 2

You can create the cost center thru tcode KS01