||for categorising departments. Go to
top of page
||A four digit numeric code in the range
1000 - 9999. We suggest you use 1000 - 4999 for product
codes, 5000 - 8999 for expense codes, and above 9000 for
balance sheet items. See "category", below.
These codes are used extensively throughout this package,
for showing you profit per department, and for
categorising in the trial balance.
||Description of the department, e.g.
Gearbox items, filters, wages, rates, etc.
||We offer four different categories here :|
- 0) Product or labour items. These will be linked
to product items in the product file, or used on
consumable purchases, but NOT for expenses.
Consumable items are items you buy which are
somehow connected with the resale of goods by
you. Welding rods or gas are consumables, but
stationery is not. This is rather a grey area,
but if you look at the trial balance, you will
see where the categories fit in. We look at
consumables as affecting GROSS profit, while
expense items only affect NETT profit.
- 1) These will be used for expense items, which
are costs not associated with 0) above, and are
usually allowable business expenses. These items
affect nett profit.
- 2) These are so-called balance sheet items, not
usually associated with the actual cost of
running the business in a daily sense. Such items
as personal drawings, loan account items,
purchase of assets, etc. will use this category.
These items do not normally affect NETT profit,
but during a year, items such as depreciation, or
lease expenses, may be put here, but at final
trial balancing, a portion of these costs may be
posted to expenses. Therefore you will have both
an expense code, and a trial balance code, for
items such as depreciation, one entry being
debit, and the other, credit. The trial balance
will remain in balance, but your profit or loss
will be affected.
- 3) Code used for other income, or debtor journal entries.
||Certain items may be taxable, others not. We offer
different categories here :|
- 0) Where this is used, no tax will be added to
the amount. If a product code is linked to a
department code with a 0, the product tax level
will have priority.
- 1) Tax will be added. There are up to 5 tax
levels here, 1-5, which link to the tax table in
Company Details, for providing a differntial tax
- Z) Which will include the tax as a portion of the
entered amount, defaulting back to a 1, after
calculating tha tax. A "Z" will always
use tax level 1 of the tax table.