Item Codes

Item codes are unique identifiers assigned to inventory or services rendered. It is comprised of both revenue and cost codes depending on the respective function. They are used with both financial and cost accounting.

Setting Up Item Codes for Contractors

Item Codes

A common problem for contractors is setting up item codes in their accounting software. Most accountants and bookkeepers fail to fully understand the concepts behind item codes and how it works with the construction industry. This article is designed to explain to you the underlying concepts and how to set up item codes for contractors.

Revenue (Sales) Codes

Revenue Codes

Revenue (sales) codes are unique identifiers for products sold or services rendered. They are used to organize information so management can better understand customer demands and the company’s profitability related to the items sold.

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