Profit Center
The Profit Center screen can be accessed from the Profit Center screen by selecting a Profit Center from the list.
The Profit Center screen is used to classify G/L accounts by department and location. This is accomplished by attaching the profit center to an account through a chart of account profile. The result is a series of G/L accounts which all stem from the same account master, each representing individual departments and locations. The system will also generate departmental profit and Loss statements and balance sheets by location based on the profit center values entered on this screen. These are separate from any statements generated by groupings (also defined on this screen).
The following is a description of the fields that appear on the Profit Center screen:
| Field | Description |
|---|---|
| Active for System | Whether an account is active for use when setting up your chart of accounts. |
| Description | Used to describe the profit center. It will be used on various G/L reports that reference the profit center. |
| Location Grouping | Used to group profit centers together to produce location reports. |
| Location List ID | The system will perform an edit check to ensure that all journal postings (from the location list) net out to zero, works in conjunction with the G/L posting locations. |
| Profit Center Grouping |
Used to group profit centers on the financial reports to produce departmental reports. Note:
|
| Primary Location | Used to ensure that only the location that is entered here can use the current profit center in the Sale Account field on the Parts Profile tab. |
The following are reports produced through Profit Center Grouping:
| DE1110 | Balance Sheet Analysis. |
| DE1160 | Income Summary. |
| DE1120 | Area Of Responsibility Income Summary. |
For example, suppose the following profit center groupings were defined:
| 001 | B/S |
| 002 | B/S |
| 003 | B/S |
| 101 | ADM |
| 102 | ADM |
| 103 | ADM |
| 201 | EQ |
| 202 | EQ |
| 203 | EQ |
| 301 | PAR |
| 302 | PAR |
| 303 | PAR |
| 401 | SER |
| 402 | SER |
| 403 | SER |
This grouping would produce a balance sheet for 001, 002 and 003 together, since asset and liability accounts would be the only accounts with a profit center of 001, 002, 003, etc. The grouping would also produce Income statements (P&L) for 101, 102 and 103 together, 201, 202 and 203 together, etc.
The following are reports produced through Profit Center Grouping:
| DE1110 | Balance Sheet Analysis. |
| DE1160 | Income Summary. |
For example, suppose the following location groupings were defined:
| 001 | HOU (Houston) |
| 002 | SAN (San Antonio) |
| 003 | DAL ( Dallas) |
| 101 | HOU (Houston) |
| 102 | SAN (San Antonio) |
| 103 | DAL (Dallas) |
| 201 | HOU (Houston) |
| 202 | SAN (San Antonio) |
| 203 | DAL (Dallas) |
| 301 | HOU (Houston) |
| 302 | SAN (San Antonio) |
| 303 | DAL (Dallas) |
| 401 | HOU (Houston) |
| 402 | SAN (San Antonio) |
| 403 | DAL (Dallas) |
This location grouping would produce a balance sheet for each of HOU, SAN and DAL, since asset and liability accounts would be the only accounts with a profit center of 001, 002, 003, etc. The grouping would also produce Income statements (P&L) for HOU, SAN and DAL. That is, one P and L would be produced for all profit centers ending in 01, another for all profit centers ending in 02, etc.
The following buttons allow you to complete your work on the Profit Center screen:
| Button | Function |
|---|---|
| Save | Saves changes made on the Profit Center screen. |
| Close | Closes the Profit Center screen without saving and returns to the Profit Center screen. |