The class & location tracking feature is a tag that you can apply to revenue and expense transactions which allows you to separate your lines of business without having to create separate company files.
When used effectively, class tracking breaks down your financials so you can view a segmented profit and loss statement that only shows those transactions for the line of business that has been tagged by class. This is a great way to view the profitability of each segment of your business separately.
In order to produce effective financial statements, avoid using class tracking for temporary categories or departments that do not generate revenue.
Class tracking should be used for broad permanent categories that have revenue and expense transactions associated with them and should categorize your company by unique sectors such as departments, cost centers, or product lines.