Classes are simply categories. You can then apply a class to transactions to get more insight into your business data. A class can be a department name, a location, or anything that means something to you. Say you’re a magician. You might create the classes “corporate event” and “children’s party.” That way when you need to buy a custom costume for your rabbit, Hopscotch, that spells out “Happy Birthday, Princess” in pink glitter, you can classify that expense as being related to a “corporate event.” (Hey, it could happen. Really, it could.) Then you can create a class report to show all your income and expenses related to a class.

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