The Profitability report shows the profitability of both your goods/services (items?) and customers.
The report determines the profitability of each product by comparing your company’s revenue from sale of a product against the cost of goods sold expense. In the Profitability report, the gross profit is worked out as well as the gross profit margin. The gross profit margin is a profitability ratio that reveals how much money is left over from revenues (incomes) after subtracting the cost of goods sold.
The gross profit is calculated as:
Gross profit = revenue (income) - cost of goods sold
The gross profit margin is calculated as:
Gross profit margin = Revenue - COGS / Revenue
The Profitability report fetches data from the Profitability journal.
The basic Profitability Report displays profitability of goods and services providing further details about customers who purchased them and accounts involved in associated sales transactions.
As you drill down within a report, for each good, you can see customers who purchased it together with the profitability of each customer relating to a particular good (item?). And then, for each customer, you can view specific accounts affected by associated sales transactions.
The report displays your revenues, expenses, gross profit and gross profit margin at all grouping levels. The summarized amounts are displayed in the system currency and are grouped by years.
To go to the Profitability report
1. On the Codejig ERP Main menu, click the Reports tab.
2. Under the Reports tab, click the Sales folder, and then select Profitability report.
Profitability Report: Header Area
Profitability Report: Default Grouping
Profitability Report: Default Summarizing