In SAP S/4HANA Cloud Public Edition, which object is used to collect costs in the...

Comprehensive and Detailed 150 to 250 words of Explanation From SAP S/4HANA Cloud Public Edition, Management Accounting documents:

In service-based industries utilizing a make-to-order scenario, the WBS (Work Breakdown Structure) element is the designated object for cost collection . While a sales order initiates the customer requirement, the WBS element serves as the specific project-related cost object that captures all associated expenses, such as consultant hours, travel costs, and external services .

By using a WBS element, Management Accountants can track the financial performance of complex projects that may span multiple sales order items or long durations38. This structure allows for detailed project controlling, including budget monitoring and the calculation of Work in Progress (WIP) or results analysis . In this context, the sales order item (Option A) acts more as a billing trigger, while the actual "bucket" for costs remains the WBS element40. Internal orders (Option D) and cost centers (Option B) are typically used for general overhead or internal department tracking rather than the customer-facing project controlling handled by WBS elements