Tucked away inside the QuickBooks Manufacturing and Wholesale software is a great "Profitability by Product" report.
To access the report, click Reports > Manufacturing and Wholesale Reports, then choose Profitability by Product report.
Here is a screen shot of how the report looks:
Within the report, you see the following information:
- Actual cost column - for inventory parts and assemblies, this cost is determined when the inventory is sold and comes from the average cost of the item in the item master file at the time of invoicing.
- Actual revenue column - the revenue as indicated on the invoice when the item is sold.
- $ Difference/% Difference - calculates the profit on each item in both dollars and as a percentage.
As with any report in QuickBooks, if further analysis of the report data is needed, you can click the Export button at the top of the report to dump the contents into Excel.
This report will NOT be found in the Pro version of QuickBooks. It is only available in the Premier: Manufacturing and Wholesale Edition and the Enterprise: Manufacturing and Wholesale Editions of QuickBooks.