Creating New Profit Centers

Profit centers must be created so that profit center reports can be generated. Complete the following steps to create profit centers:

  1. Go to Financials > Options > Settings tab as shown below:

  2. Enable Use Profit Centers option.  If departments have been created and the Profit Centers are to be the same as departments, enable the Automatically Create Profit Centers from Departments option and click OK.

  3. Go to Financials > Profit Center menu option if the Automatically Create Profit Centers from Departments option is disabled. Go to Financials > Departments, open a department and click on the Profit Center tab if the option is enabled.

  4. Skip to step 7 if the Automatically Create Profit Centers from Departments option is enabled. Otherwise click the New button at the bottom of the window.  The following window will appear:

  5. Enter the ID of the new Profit Center.

  6. Enter the Description of the new Profit Center and click OK.

  7. The main profit-center window will reappear with the new Profit Center selected but the list may be blank.
     

  8. Complete one of the following 3 options to populate the allocation ratio percentage for each revenue and expense accounts.   Note that balance sheet accounts (asset, liability and equity accounts) can be ignored.

    1. Launch the Add By GL Code wizard by clicking on the Wizard button on the lower right of the dialog to open the following dialog:

    2. Launch the Copy from One Year to Another wizard by clicking on the wizard button to copy the GL account ratios from another year.

    3. Manually enter the ratios for each account and click OK.   Review Allocating Indirect Expenses to a Profit Center for detailed instructions on entering allocation percentages per profit center.

Wizards has a drop-down list of wizards to choose from to add or change G/L accounts within a profit center.