What is 'subsidiary' in SAP SRD-CC - Cross-Components?

subsidiary - Overview

• Component: SRD-CC

• Component Name: Cross-Components

• Description: A company that is either partially or completely owned by a holding parent company that owns more than fifty percent of the stock.

subsidiary - Details

• 
  Key Concepts: 
  A subsidiary is a legal entity that is owned or controlled by another company, known as the parent company. In SAP, a subsidiary is a company code that is assigned to a controlling area. The controlling area is the highest level of organizational structure in SAP and is used to manage the financial data of multiple company codes. 
  
  How to use it: 
  In order to create a subsidiary in SAP, you must first create a controlling area. Once the controlling area has been created, you can assign company codes to it. Each company code will represent a subsidiary of the parent company. You can then assign different financial accounts and other settings to each subsidiary. 
  
  Tips & Tricks: 
  When creating subsidiaries in SAP, it is important to ensure that each subsidiary has its own unique settings and accounts. This will help ensure that the financial data for each subsidiary is accurately tracked and reported. 
  
  Related Information: 
  The SRD-CC Cross-Components component of SAP provides tools for managing subsidiaries and their associated financial data. It also provides tools for creating and managing controlling areas, assigning company codes to them, and managing the financial accounts associated with each subsidiary.