What is 'allocation value' in SAP FS-BA-AN-PA - Profit Analyzer?

allocation value - Overview

• Component: FS-BA-AN-PA

• Component Name: Profit Analyzer

• Description: A value that is to be distributed or neutralized.

allocation value - Details

• 
  Key Concepts: 
  Allocation value is a term used in the FS-BA-AN-PA Profit Analyzer component of SAP. It is a numerical value assigned to a particular cost or revenue item that is used to determine the profitability of a business. Allocation values are used to allocate costs and revenues to different areas of the business, such as departments, products, or services. 
  
  How to use it: 
  In order to use allocation values, you must first define the cost or revenue item that you want to allocate. This can be done by entering the item into the Profit Analyzer component of SAP. Once the item has been entered, you can assign an allocation value to it. This value will be used to determine how much of the cost or revenue should be allocated to each area of the business. 
  
  Tips & Tricks: 
  When assigning allocation values, it is important to consider how much of the cost or revenue should be allocated to each area of the business. For example, if a product has high costs associated with it, you may want to assign a higher allocation value than if it had lower costs associated with it. Additionally, it is important to consider how much of the cost or revenue should be allocated to each area in order to ensure that each area is receiving its fair share. 
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