Overview

This article provides information on the Sub-Locations, Location Classifications and the differences between Locations and a Sub-Locations.

Information

A sub-location forms a child to the location, i.e., a sub-location always falls under a location in the hierarchy.

• Each sub-location should have a parent location.
• A sub-location can have any number of levels of sub-locations below it.

The following may be created as a sub-location:

• Cost centers: Create cost centers such as manufacturing units as sub-location. Cost centers are used to allocate expenses and revenues. This allows you to evaluate the profitability of any cost center.
• Profit centers: Create profit centers such as product lines and sales channels as sub-locations.
• Functions: Create functions such as Administration, Finance, Marketing and Distribution as sub-locations.

Note: To use a single sequence number, billing address and logo, for several sublocations, create sub-locations under the default location: Main.

Difference Between Locations and Sub-Locations

The differences between locations and sub-locations are:

How Location Classification Works

Locations or sub-locations can be assigned for the following:

• Users
• Customers and Vendors
• Sales and Purchase documents
• Manual Sale, Receipt, Payment, General and Purchase Journals
• Sequence Numbers for Documents, Journals, Customers, and Vendors

A brief description of each is also shared below:

• Users
  By identifying the location/sub-location to which the user belongs, you can set a preference to ensure that users can view only those documents that belong to their location/sub-location.
• Customers and Vendors
  Assigning customers and vendors to locations/sub-locations facilitates you to obtain aging analysis by location/sub-location. Thus, you can assign responsibility for Accounts Receivable and Accounts Payable and associated issues such as overdue payments, aging and maintaining the customer and vendor database.
• Sales and Purchase Documents
  Sales or purchase documents can be created for any location/sub-location.
  • If the document is created for a sub-location, the address, logo and sequence numbers of the respective location are used.
  • Locations/Sub-locations can be specified for each line item in a document. This enables the measurement of the revenues and expenses for each line item.
• Manual Journals
  When a transaction is created manually in a sales, receipt, payment, general or purchase journal, it is assigned to the login location/sub-location. You may also specify location/sub-location for each account debited or credited in the transaction. Thus, the revenues and expenses for each cost or profit center can be measured.
• Sequence Numbers
  Sequence numbers are the numbers assigned by Everest to all the documents (purchase, sales, and returns), vendors, customers, and serialized inventory items. 
  • The first sequence number for each of the documents is set in the Location profile in the following path: File > Setup > Accounting > Location/Sub-Location > Options > New > Location > In New Window
  • Everest assigns the number automatically.
  • You can specify a different range of sequence numbers for each location. 
  • Sequence numbers can be specified for items, customers, vendors, each type of sales and purchase document and each type of journal. 
  • When a new customer or vendor is created and the customer/vendor code is left blank, the sequence number for customers/vendors specified for the logged in location or the location of the logged in sub-location is assigned.
  • If sequence numbers are not mentioned for the logged in location or the location of the logged in sub-location, the sequence numbers for the default location are used. 
  • When a sales or purchase document is created, the sequence number of the location for that document type is used.
  • When a journal is created, then the sequence number for the login location/sublocation for that journal type is used.
  • Serial numbers are assigned continuously.
  • Documents using alias are not assigned a different sequence.
  • To start a new sequence, you can change the sequence numbers manually in the Location profile.
  • Sequence numbers of purged documents are not available for use when creating documents.

Related Links

• Return to: Chapter 2 Setting Up a Company table of contents
• Return to: Everest Advance User Guide v6.11 table of contents