What is distribution key in SAP SBO - SAP Business One?

SAP Term: distribution key

• Component: SBO

• Component Name: SAP Business One

• Description: A key or indicator that is used to define indirect costs such as advertising. By means of this key, costs and revenues are allocated to the appropriate business activity.

Smart SAP Assistant

• Key Concepts: 
  Distribution Key is a feature in SAP Business One (SBO) that allows users to assign a specific percentage of an item’s cost to different accounts. This feature is useful for businesses that need to track the cost of items across multiple accounts. For example, if a business sells a product that has multiple components, the Distribution Key feature can be used to assign the cost of each component to the appropriate account. 
  
  How to use it: 
  To use the Distribution Key feature in SBO, users must first create a Distribution Key in the system. This can be done by going to the “Distribution Keys” tab in the “Accounts” section of SBO. Once the Distribution Key has been created, users can then assign it to an item in the system. This can be done by going to the “Items” tab in the “Inventory” section of SBO and selecting the item that needs to be assigned a Distribution Key. Once the item has been selected, users can then select the Distribution Key from the drop-down menu and assign it to the item. 
  
  Tips & Tricks: 
  When creating a Distribution Key in SBO, it is important to make sure that all of the accounts that are being assigned percentages are correctly entered into the system. This will ensure that all of the costs associated with an item are accurately tracked and accounted for. Additionally, it is important to remember that once a Distribution Key has been assigned to an item, it cannot be changed or removed without deleting and re-creating the item in SBO. 
  
  Related Information: 
  For more information on how to use Distribution Keys in SBO, please refer to SAP’s official documentation on this topic. Additionally, there are many online tutorials and videos available that provide step-by-step instructions on how to use this feature in SBO.