Company Code

What is this?

A Company Code represents a legal entity in SAP.

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Why it exists?

Used for:

• Financial accounting
• Legal reporting
• Balance sheet and P&L

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Key Characteristics

• Independent financial statements
• Currency defined
• Tax and legal structure

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In SAP

• All financial transactions are posted at company code level
• Each company code has its own books

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Process Impact

→ P2P_Procure_to_Pay
→ O2C_Order_to_Cash

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Key Takeaway

Company Code =
→ Financial identity of the organization