Which statement is true if there is no selection made on the driver basis tab?

Study for the Profitability and Cost Management Cloud Test. Use flashcards and multiple choice questions, each with hints and explanations. Boost your preparation!

When no selection is made on the driver basis tab, the system assumes that the driver basis sits at the destination. This means that the allocation process will look at the destination data points when performing its calculations. The underlying logic is that, without a specified driver, the system defaults to using the destination attributes to guide how resources or costs should be allocated. This highlights the fundamental mechanism of allocation in the Profitability and Cost Management Cloud, where understanding the origin and destination of costs is vital for accurate financial assessments.

The other options do not align with this default behavior. The idea that allocations occur evenly does not hold in the absence of specified drivers, as the system would not apply a uniform distribution without specific parameters. Similarly, assuming that the driver basis sits at the source contradicts the defined behavior of the system in the absence of selection, and the assertion that an allocation rule cannot run without specifying a driver basis overlooks the default assumption that the system applies in such scenarios.

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