How to Create Business Area and Credit Control Area | Enterprise Structure | Class - 6

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BUSINESS AREA – OX03
Business area in SAP is an organizational unit within accounting that can be classified as geographical wise or product wise as per the
requirements of an organization. Under business area, you generate financial statements of balance sheet and profit and loss account for
internal reporting. We can maintain number of business areas in SAP as per company needs. To post items in business area when you enter the
business transactions. Examples of business areas are product lines, branches etc.

DEFINE CREDIT CONTROL AREA – OB45
Credit control area in SAP is an organizational element that controls and monitors credit limits of customers. The credit control area is used for
credit management in the application components Accounts Receivable (FI-AR) and Sales and Distribution (SD).
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