AsrayaJan. 21, 2019
Tracking income and expenses is one of the most essential internal procedures a business can utilize. In business, analytic accounting is a name for the mandatory component of project management. It depends on financial data to make judgements about how, when and why a business spreads and gets money. We can use it to filter a product or service expense details, analyze the cost of a company, also in budget and assets.
As a result, analytical accounting uses a huge amount of the same financial measurements that organizations track and record for their budgeting and financial statements. The key contrast is that financial data in various ways depending on an analyst’s needs and questions, instead of simply balancing accounting.
Organizations use Analytical Accounting for many reasons. All of which depends on the additional data it makes available to assist with decision-making processes. One reason is to distinguish costs that arise over time with hopes of reducing them. As a result, this is also a helpful method of recognizing temporary or regionally specific revenue increases so business leaders can attempt to sustain them. However, in a more broad sense, organizations can develop more customized views of their finances, which have more value to managers.
Most of the analytical accounting use software tool to make the process accurate and to reduce the time it takes to compile and organize data. Thus, analytical accounting in Odoo is very effective for the businesses in all size. You can track the cost of purchases, expenses and subcontracting in the Invoicing module. Let’s have a look at Tracking income and expenses by Analytical Accounting in Odoo.
Firstly, to enable Analytic Accounts go to Invoicing > Configurations > Settings > Tick Analytical Accounts > Save:
Then go to Invoicing > Configuration > Analytic Accounting > Analytic Accounts > Create:
Type the Analytic Account name, select the customer name if needed and Save the details. In this Analytical Account, you can point out all the income and expenses.
How to record an expense with Analytic accounting in case of employees
You can record an expense made by the employee for business needs. For that, you have to create an expensive product. Go to Expenses module, click on Configuration > Expense Products. Here you can Create a new product and set the cost price. Finally, Save the details.
Book the Expense
For expense booking go to Expense module > click on Expenses to Submit > enter Expense Description, Select the appropriate Analytic Account. Save the details. Click on Submit to Managers and Approve button for enter expense details into Analytic Account.
Customer Invoice with Analytic Account
If you have to record a Customer Invoice, go to Invoicing > Create a Customer Invoice.
Enter the customer details and click on Add an Item. Also, you can choose the Analytic Accounting option over there.
Save > Validate.
Similarly we can do for vendor bill as well.
Finally, go to Invoicing > Configurations > Analytic Accounts > select the account which you have created. Click on the Cost/Revenue button:
You can see the Expense and customer invoice you have created,it will be added to the Analytical Account. The expense will be shown in the negative figure and deducted from the income.
In short, hope you understood the Analytical Accounting in Odoo concept.
Watch Video :
https://www.youtube.com/watch?v=3UbbVkgT1a8
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