Currently , we have a new product line and we wouldl like to differentiate the sales , purchase and inventory with existing product line so that can reflected in financial report for different product line.
Not sure which method is good for differentiate?
Differentiate by sub account
Differentiate by new account code , which mean we create a new account code for sales, purchase and inventory.
40000 vs 40001
57300 vs 57301
14720 vs 14721
Which method that you suggested? what the reason that you suggest the method?
Best answer by vkumar
Both Sub account and separate GL account gives you ability to break the sales, purchase for each Product line. If you dont want to see too many GL accounts created, you may just opt to use sub accounts. On Financial report, you can get break up of numbers by sub account.
Hope this helps,