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Which three organizational elements make up a sales area
and briefly explain their functions?
What does the term "business area" refer to and how can it
be used?

Answer Posted / swastika

1. Sales area is the combination of Sales
organization,Distribution channel and Division.

A Sales organizaion is organizational unit that sells n
distributes product ,negotiates terms of sale and is
responsible for these transactions.

A Distribution channel is channel through which
material/service reach to customer.

A Division is product group that can be defind for wide
ranging spectrum of products.

2. Business area is an organizational unit in Financial
accounting that represents a separate area of operation
within an organization.
The system posts costs n revenues according to Business
area.
A Business area may be equal to
-> Sales area- If accounts to be posted according to sales
-> Plant/Division- If accounts to be posted according to
the products

Is This Answer Correct ?    6 Yes 1 No



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