Cost Catagory and Cost Centre

A company may require analysis of Department-wise costs, Branch-wise costs and Executive-wise costs. Create each of these as a cost catagory. These Cost Catagories will have the individual cost centres under them.
Suppose there are three departments

• Marketing
• Administration
• Services

and four branches

• Bangalore
• Mumbai
• Kolkata
• Delhi

and four Executives

• Mr A
• Mr B
• Mr C
• Mr D

In this case you have to create 'Department', 'Branch' and 'Executives' in Cost Catagory.

To create cost catagory first press F11, then press F1 and specify 'yes' at the option 'Maintain Cost Centres' and 'More than ONE cost category'.

Then from Gateway of tally -> Accounts info -> Cost Catagories -> Create.

After you have created the Cost Catagories come back to Gateway of Tally by pressing ESC.

Then Create Cost Centres ( Gateway of tally -> Accounts info -> Cost Centre -> Create).

Select 'Department' in place of category and then create Marketing, administration and service, and in the same way by selecting the category as 'Branches' you can create the cities under it. If you see that it has taken the category as 'Department' and you are willing to change it then press 'SHIFT + Tab'.

For deleting any cost category and cost centre go to alter and select the cost centre or catagory and press 'ALT + D'.