Page Comparison

...

Anchor
job_cost_saving_predefined_profi_3764 job_cost_saving_predefined_profi_3764

Description of profit types

• 1 - Non-billable:
  Billing amount = 0.00
  Use this profit type when the cost amounts posted to the cost code for the job should not be billed to the customer, or if you want to track costs but not bill for costs.
• 2 - None:
  Billing amount = cost amount
  Use this profit type when the cost amount charged to the cost code for the job will become the billable amount. This is the default profit type for all cost codes on Fixed Amount contract jobs.
• 3 - Percent margin:
  Billing amount = cost / (1 - percent margin)
  Use this profit type when the billing amount is based on a desired profit margin for the cost code. This margin is assigned as the profit amount for the cost code. For example, if a unit's actual cost is $100, and you choose a percent margin of 24 percent, the billing amount is $131.58. (The calculation is: 100 / (1 - 0.24) = 131.58).
• 4 - Percent of cost:
  Billing amount = cost + (cost x percent of cost)
  Use this profit type when the markup amount is calculated as a percentage of the actual cost for the cost code assigned to the job. This markup percent is assigned as the profit amount to the cost code. For example, if the actual cost for the cost code is $100, and you choose a percent of cost of 10 percent, the billing amount is $110.
• 5 - Per unit amount:
  Billing amount = cost + (number of units x profit per unit)
  Use this profit type when the profit amount is calculated as a dollar amount per unit for the cost code. For example, if the cost of each unit is $10, and 10 units are used with a profit amount of $5 per unit, the billing amount is $150. (Cost is 10 x $10 = $100 and billing amount is $100 + ($10 x $5) = $150.)
• 6 - Total dollar amount:
  Billing amount = cost + profit amount
  Use this profit type when the profit amount for the cost code equals a total dollar amount, regardless of the cost or number of units used. For example, enter a profit amount of $100 for the cost code. The amount billed for the cost code is cost plus $100.
• 7 - Flat rate per cost code:
  Use this profit type when the billing amount for the cost code equals a total dollar amount, regardless of the cost or number of units used. The total amount billed for the cost code is entered as the profit amount for the cost code. For example, enter $10 as the total amount billed for the cost code. If your cost is $7, your profit is $3. If your cost is $8.50, your profit is $1.50.
• 8 - Flat rate per unit:
  Use this profit type when the cost code is billed as a flat amount per unit regardless of the cost of the unit. The amount billed per unit for the cost code is entered as the profit amount for the cost code. For example, if you enter a billable amount of $25 for a labor cost code, you bill $25 per unit. If your cost per unit is $10, your profit per unit is $15. If your cost per unit is $22.50, your profit per unit is $2.50.
• 9 - Service labor rate group:
  If you are also using Service Management, use this profit type to bill job customers for labor-only cost codes and establish billing amounts for labor transactions. Labor rates can be set up to reflect different rates for different pay codes. You can create labor rates by position or by department. This profit type is unavailable if you do not have the Service Management Labor Rates module. Contact Key2Act Sales if you would like to purchase this module.

...

1. Choose Microsoft Dynamics GP > Tools > Setup > Job Cost > Cost Code Setup > Master Cost Codes.
2. Complete the following fields, as necessary.
   • Cost Element Type:
     The default is 1 for Labor.
   • Cost Code, Description:
     Enter a new cost code and description.
   • Profit Type ID, Profit Amount:
     Enter the profit type ID and profit amount. If you only use the cost code on Cost Plus contract jobs, assign a profit type ID. The profit type for all cost codes assigned to Fixed Amount contract jobs automatically defaults to None and cannot be changed. If all jobs have the same profit amount for this cost code, you can set a percentage or currency profit amount.
   • Service Labor Rate Group:
     Enter a service labor rate group. This field is enabled only if the profit type is 9 - Service Labor Rate Group. See Creating labor rate groups (optional).
   • Estimate Units, Estimate Amount/Unit, Estimate Amount, Estimate Measure, Estimate Measure Name:
     Enter estimate information. Generally, the estimate unit and estimate amount/unit are assigned at the job level. The Estimate Amount field fills in automatically. When you enter an estimate measure, the Estimate Measure Name field will complete.
   • Production Est. Qty, Production Qty/Unit, Production Measure, Production Measure Name:
     Enter production information. If all your jobs use the same production measures for this cost code, enter the production quantity needed to complete a typical job. The production quantity per unit is calculated automatically based on the Estimate Units field. Enter a production measure. The Production Measure Name field will complete.
   • Transaction Type:
     Enter the transaction type. Accept All as the default or choose from the drop-down list. Choices include ALL, Inventory Item, Vendor ID, and Purchase Order. If you choose Inventory Item, an Item Number field appears, allowing you to enter an inventory item. If you choose Vendor ID, you can enter a vendor as a subcontractor. See Adding subcontractors to a job record. If you choose Purchase Order, a PO Number field appears. Enter a purchase order number.
   • Workers Comp:
     Use the lookup button to choose a workers' compensation code.
   • Account Number:
     If you selected the Cost Code option in posting options setup, choose a general ledger posting account to post transaction costs assigned to this cost code. When you assign a general ledger account to a cost code in the Master Cost Code Setup window, the designation remains in effect when you add the cost code to a job in the Job Cost Codes Setup window. If you selected the Division posting option, you will not be able to choose an account in the Master Cost Codes Setup window. Instead, when you use the Job Cost Code window, a default account will appear, taken from your division account setup.
3. Choose Save.
4. To print the Cost Code Master Setup report, choose File > Print or choose the printer button.

...