What is allocation account in SAP SBO - SAP Business One?

SAP Term: allocation account

• Component: SBO

• Component Name: SAP Business One

• Description: An account that records the offset amount for the change in inventory value due to actual inventory received via the goods receipt PO, or issued via A/P returns documents.

Smart SAP Assistant

• Key Concepts: 
  An allocation account is a type of account in SAP Business One (SBO) that is used to allocate costs or revenues to other accounts. It is a non-posting account, meaning that it does not affect the balance sheet or income statement. Allocation accounts are used to track the movement of funds between different accounts and can be used for budgeting, forecasting, and reporting purposes. 
  
  How to use it: 
  In SBO, allocation accounts are created in the Chart of Accounts. When creating an allocation account, you will need to specify the type of account (e.g., revenue or cost) and the type of allocation (e.g., percentage or fixed amount). Once the account is created, you can then use it to allocate costs or revenues from one account to another. This can be done manually or through automated processes such as journal entries. 
  
  Tips & Tricks: 
  When creating an allocation account, it is important to ensure that the account is properly configured so that it does not affect the balance sheet or income statement. Additionally, it is important to ensure that the account is properly linked to other accounts so that funds can be allocated correctly. 
  
  Related Information: 
  For more information on allocation accounts in SBO, please refer to the SAP Business One Help Center. Additionally, there are many online resources available that provide detailed information on how to use and configure allocation accounts in SBO.