what is the impartence of secondary cost element in
controling, if it is needed give reasons
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Answer Posted / chandan
Secondary cost element create for internal purpose of
controlling area. This is for service provide to one cost
center to others cost centers.
Expamle:-
In your office you make the CANTEEN is cost center. Canteen
is provides the service to other cost centers like TEA,
Coffee, etc. You allocated the TEA, Coffee Amount to others
cost center that thru secondary cost element.
If I am wrong so please correct me.
Thanking
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