After we activated the cost of sales accounting we should now define functional areas that we will assign to accounting and controlling objects in the system. Examples of functional areas are Finance, Manufacturing, R&D, Sales, etc.
IMG Path: Enterprise Structure -> Definition -> Financial Accounting -> Define Functional Area
As at ECC 6.0 EHP6 the transaction is not accessible through the img path. Use directly the transaction instead. When you are in the transaction scree, click on new entries.
Fill the necessary fields and save the entry.