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Reply from Nikki Klein on May 23 at 12:37 PM Hi
The typical "rule of thumb" for this is - is there a manager in charge of people, or a budget, or both? If so, you probably need a cost center. If not, you probably don't.
In your example, no - I have usually seen only a cost center for Accounting.
Nikki
| | | ---------------Original Message---------------
From: allaf-rudwan
Sent: Monday, May 23, 2016 6:01 AM
Subject: Cost Centers for Head Office - Is It Standard to Create Cost Center for Each Sub Department
Hi,
We are designing cost center hierarchy for our company
which having : finance department , HR , ... etc
Now the question, is it standard to create cost center for each sub department?
Let's say in finance department there are : AP - AR - Cash - GL - Bud & Reporting.
Is it necessary to create cost center for each sub division? |
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