Cost Center is smallest unit in the organization in which we want to know the revenue / expenses. It can be an office, machine, employee, department, branch office, factory or anything in the organization.
For example, if the organization is doing many types of business or it may have many branches / sales offices all over the country and the management want to know the separate revenue / expenses for each unit / business / branch / sales office.
Cost Center Feature can provide this kind of details. You can prepare separate P&L for each Cost Center Unit.
Dear Lubos & Abeiku. It is also my concern that you can add cost center in Manager instead of Tracking-profitability-by-division. It will be better if you can divided tracking into same cost center. Some time, we need more detail information about our division that we called cost center. So…the Company have some Divisions. The Division has some Cost Centers. I hope Manager provides some cost centers to explain our division.
At some point, you may need to accept that your business is not suitable for using Manager. Manager specifically is targeted at small businesses. Many of its users started using it because other accounting packages were too complex for their situations.
I also would love to have multiple levels of tracking codes available that way we can have separated divisions and projects P&L statements. @lubos, is this going to be implemented?