If you are using the Branch G/L Suffix option to create separate G/L Accounts for each branch, you can create a separate Income Statement for each branch, in addition to your consolidated Income Statement, which includes all branches.
First, you need to create G/L Groups that include only the accounts for that branch. These groups should be named to reflect the branch that they apply to, such as "Sales Merchandise - Service". Each branch-specific account should be included in both the branch-specific G/L Group, and the G/L Group for the Consolidated Income Statement. Also, all Income Statement accounts need to be included in an "Income Summary" group for the Balance Sheet.
Create branch-specific G/L groups
To create branch-specific financial reports, you must create branch-specific G/L Groups that you can then use to build a branch-specific Income Statement. Look at the groups included in your initial Income Statement report. The groups that you create should mirror the groups that you see on this report. For example, if you have a "Sales Merchandise" group on your Income Statement, you should create a "Sales Merchandise - Service" group to include only the sales G/L accounts for the Service branch.
To create a group, select Accounting > General Ledger > G/L Group. For details, see Group your general ledger accounts. Once you have created all of the groups, you can assign the necessary accounts to each group.
Group your branch accounts
Once you have created the G/L Groups for the accounts, you need to assign each Income Statement for each branch G/L Accounts to a G/L group. Any accounts not assigned to a group will not excluded from the report, resulting in an incorrect net income value.
To add accounts to a group:
- Go to Accounting > General Ledger > G/L Group.
- Open the first group that you want to change, and then click Edit.
- In the window in the bottom left corner, type the G/L Account that you want to assign to this group, and then press the Tab key.
- Continue assigning G/L Accounts until you have entered all of the necessary accounts for the group.
- Click Save.
Repeat this procedure for each group. Be sure that you have assigned all accounts for the branch to a group. If you miss an account, your total will be incorrect.
The branch accounts that you assign to a branch-specific group should belong to at least 3 groups:
- the branch-specific Income Statement
- the Consolidated Income Statement
- the "Income Summary" group that will be used on the Balance Sheet.
Create a branch-specific income statement
Once you have assigned all of the Income Statement accounts for the branch to a G/L Group, you can begin constructing your branch-specific Income Statement, using your Consolidated Income Statement as a guide. All of your branch-specific Income Statements should mirror your Consolidated Income Statement using branch-specific groups instead of the company-wide groups.
To check your Income Statements, run an Income Statement for each branch, as well as a consolidated Income Statement. The sum of the branches should equal the Consolidated Income Statement. If there is a discrepancy, verify that all of your accounts are assigned to the correct groups.