Usage of compound attribute in reporting

Compounding attribute lets you derive a unique data records in the reporting. 

Suppose you have a cost center and cost accounts like this and you want to maintain proper relation:

Cost centers: 1000, 1001, 1002

Cost accounts: 9001,9001,9003

The cost accounts are not unique across cost centers and the master data will be over written.

So the cost accounts across cost centers cannot be differentiated. 

When you add the cost centers ac compounding attribute a unique record will be present. After compounding the records will look unique like below in reporting:

9001/1000

9002/1000

9003/1000

9001/1001

9002/1001

9003/1001

9001/1002

9002/1002

9003/1002

Thus differentiating each cost account across cost centers uniquely.