Use of Chart of Account List in QuickBooks
QuickBooks has provided various methods that help in reporting and tracking the accounting data, which in return helps in evaluating and reviewing how the business is performing financially. You can easily get the QuickBooks chart of accounts set up.
What is Chart of Accounts?
Chart of Account is basically a list which consists of expense accounts, income, equity, liability and asset, which could be assigned to the daily transactions of yours. With this list you will be able to keep the financial information of yours organized.
Once you create this list with summary accounts and then use the same for the details of other list types, then the information can be captured timely, this ultimately will ensure that you are able to take good management and financial decisions for your business.
Types of Account
It is not difficult to under the Chart of Accounts. Your business’s financial activities, such as expense, income, equity, costs of goods sold, liabilities and assets, can be tracked through six of the standard account categories.
Assets include the things that are purchased by you in the past with an aim to generate the economic benefit in future. These categories are provided by QuickBooks, so that you are able to know that how fast the asset of yours could be turned into cash.
Liabilities stand for the debts that are not yet paid by the company.
Subgroups that are included in QuickBooks are:
- Credit Cards
- Accounts Payable
- Long-term Liability
- Other Current Liability
Residual interest of the owner is what equity account category holds, this interest lies in the business once all the payment of liabilities is done.
Money that is earned by selling the products or services is termed as income. You may have several income accounts or just one, based upon the details that are needed for the financial analysis.
5. Cost of the Goods Sold
Cost of the Goods Sold represents the costs which are directly related with producing the goods or services for sale. Revenue and cost of yours have the direct relationship in this case.
If products are selling by your company then expenses of cost of goods sold will include the labour, material and other related costs that incurred for selling and making of products. Office expenses such as advertising or rent are considered at indirect and hence shouldn’t be a part of Cost of Goods Sold account type.
Expenses get recorded when there is the cash outflow or usage of asset is done. It was during the Advanced Setup and Express Start that expense accounts get created, they come up with basic classifications that were needed to track the expenses properly.
Printing of the Chart of Accounts List
Printing the Chart of Account List will be of great help to you, you can easily refer it whenever the accounts are assigned to the business transactions.
Follow the steps given below for printing the chart of account list:
- Get the window of Chart of Accounts opened by selecting lists and then Chart of Accounts. After that tap on the button of Reports present at the Chat of Account window’s bottom
- Then select Account Listing present in resulting menu. You will be able to see the entire list of accounts on the screen
- Click on Print button to take out the print of the report, which appears at report window’s top.
Need Professional Help?
To know more about Chart of Account lists, you can get in touch with our SMB QuickBooks customer support team. We assure you that our SMB QuickBooks tech support helpdesk will help you in solving all your issues. You can dial our smbaccountants.com to get in touch with our QuickBooks experts.
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