Defining Cost Centre - IRS Software

Defining Cost Centre

Setting > Cost Centre

  1. A Cost Centre is a department within an organization that does not directly add to profit, but which still costs an organization’s money to operate. Cost centre only contributes to a company’s profitability indirectly, unlike a profit centre which contributes to profitability directly through its actions.
  2. With each cost centre, you can also setup corresponding codes that tie into your accounting system.
  3. Such codes will ensure that your expenses are put into the correct cost centre, which makes it easier for expenses tracking and reporting purpose.

To Add A New Cost Centre

  1. 1. Choose Settings > Cost Centre.
  2. 2. Select the specific company that you wish to add new cost centre.
  3. 3. Click Add.
  4. 4. Enter the Code and Name of the cost centre.
  5. 5. Click Save.

Note: You can click Add button on a Parent Cost Centre to create more or unlimited Child Cost Centre.

 

Was this answer helpful ? Yes / No
BACK TO BLOG PAGE
Top