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Former Member

Assigning Profit/Cost Center to GL Account

Hi,

We are trying to use Profit Centers (Cost Accounting) to track direct and indirect costs and create profit/loss for specific departments.

I would like to create different GL accounts for the Revenues and Cost of Goods to post to. We would like to select the Profit Center at the Sales order level (per Line Item) and have it flow though both the cost and revenue sides of Target documents (Invoice, Purchase order...) and into the GL.

When I created a new profit center it automatically assigned it to the main Sales Revenue account. How would I change this so it posts to ex: 41500000-01-001-01 - Sales Revenues - Department One ?

Thank You

Henry

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2 Answers

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    Former Member
    Oct 12, 2008 at 12:22 AM

    Suda,

    Thank you for your reply.

    How do you change the GL number on a Profit Center?

    Thank You

    Henry

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    • Former Member Former Member

      hi

      You can assign Distribution Rule for Revenue and Expenditure accounts. You can also assign Distribution rule in sales Order by enabling the Particular dimension in your Form Settings.

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    Former Member
    Oct 12, 2008 at 12:16 AM

    Henry,

    With what I understand of your question, I can only tell you that Profit Center do have a direct G/L account assigned to them where the G/L entries get posted when processing an A/R transaction.

    Based on the type of G/L Management you have set in your company would JE posting happen. There are at the system level

    System Init.. > General Settings > Inventory Tab...Manage Inventory G/L by setting

    Is this by Item Group / Warehouse.....this setting can be changed at the Item level if required which is finally going to decide how your JE posts when you process a Delivery and AR Invoice

    Please let me know

    Suda

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