Analytic accounting is also known as the cost/profit center. It is used to group various accounts to calculate the difference between cost and revenue and know whether we can expect income or expense. The analytic account can be used to assess the profitability of projects, track and control regular expenses, and so on.
Odoo manages the cost center or profit center using an analytic account. It is a special single-entry accounting system where debit entry is represented by negative amounts and credit entry represent by positive amounts. It can be linked with every financial transaction that should be included in the costing or profit center.
The analytic accounting entry can be created either automatically or manually. Usually, an analytic entry can be created automatically from sales invoices, vendor bills, projects, or a timesheet. Let's see how can we can enable this feature and calculate the costing or profitability of using analytic account through the...