Quickbooks 2012 in Depth

Other Accounting Reports 62 Accounting Checklist to Help You Manage Your Financials 62 Setting Up a QuickBooks Data File for Accrual or Cash Basis Reporting 63 Cash or Accrual Basis Startup Transactions: Accounts Receivable 65 Cash or Accrual Basis Startup Transactions: Accounts Payable 69 Cash or Accrual Basis Startup Transactions: Bank Account Statement Balance 73 Cash or Accrual Basis Startup Transactions: Recording Uncleared Bank Checks 74 4 Understanding QuickBooks Lists 77 Chart of Accounts 77 Account Types 78 Adding a New Account 80 Items 82 Adding an Item 82 Understanding Items 84 Item Types 85 Class 86 Customer Type 88 Managing Lists 89 Chart of Account Preferences 89 Add/Edit Multiple List Entries 90 Importing an Intuit Interchange Format File (IIF) 92 Reporting on Lists 94 Finding and Fixing Chart of Account Errors 94 QuickBooks Required Accounts 95 Making an Account Inactive 95 Merging Duplicated Accounts 96 Modifying an Account in the Chart of Accounts 97 Assigning or Removing a Subaccount Relationship 98 Finding and Fixing Item List Errors 100 Reviewing the Item List on the Computer Screen 100 Item Listing Report 102 Profit & Loss Standard Report 102 Correcting One-Sided Items 105 Making an Item Inactive 108 Merging Items 109 Creating Items as Subitems 110 5 Setting Up Inventory 111 Overview of Accounting for Inventory 111 Inventory Features by QuickBooks Edition 112 QuickBooks Pro 2012 112 QuickBooks Premier 2012 113 QuickBooks Enterprise Solutions 12.0 114 Enabling Inventory Preferences 115 Inventory Item Type Descriptions 118 Inventory Part 119 Non-inventory Part 119 Group Items and Inventory Assemblies 119 Adding or Editing Inventory Items 121 Adding or Editing Individual Items 121 Using Add/Edit Multiple List Entries 125 Importing an Intuit Interchange Format File (IIF) 127 Changing Item Prices 128 Creating Inventory Assemblies 131 Creating Group Items 133 Setting Up Multiple Unit of Measurement 134 Proper Inventory Processes 137 Purchasing, Receiving, and Entering the Vendor Bill 139 Paying for Inventory 146 Selling Inventory 148 Working with Group Items 149 Working with Assemblies 150 Handling Inventory Backorders 152 Handling Customer Inventory Returns 155 Handling Vendor Inventory Returns 158 6 Managing Inventory 159 Adjusting Inventory 159 Performing a Physical Inventory Count 160 Quantity Adjustments 161 Value Adjustments 162 Inventory Reporting 165 Inventory Center 165 Report Center 166 Inventory Valuation and Your Financials 168 Reviewing the Recorded Average Cost Valuation 170 Reviewing Aged Item Receipts 173 Reviewing Aged Accounts Payable 176 How QuickBooks Handles Negative Inventory 177 When Inventory Has an Average Cost from Prior Purchase Transactions 178 When Inventory Does Not Have a Prior Average Cost 180 7 Setting Up Vendors 185 Customizing Your Home Page for Vendor Activities 185 Preferences That Affect Accounts Payable 186 Accounting 186 Bills 188 Checking 188 General 190 Reminders 191 Reports and Graphs 191 Tax:1099 192 Working with the Vendor Center 193 Adding or Modifying Vendors 194 Finding Vendor Transactions 198 The Accounts Payable Process 200 Accounts Payable Forms 200 Accounts Payable Workflow 202 Entering a Purchase Order 204 Recording Vendor Bills 205 Creating a Vendor Credit 207 Paying Vendor Bills 209 Applying Vendor Credits 211 Taking Discounts on Vendor Bills 213 8 Managing Vendors 215 Accounts Payable Reporting 215 Reconciling Balance Sheet Accounts Payable Balance to A/P Aging Summary Report Total 215 Reviewing the Unpaid Bills Detail Report 216 Reviewing Aged Open Item Receipts 218 Reviewing Item Setup 221 Accounts Payable Balance on Cash Basis Balance Sheet 222 Tracking and Reporting Vendor 1099-MISC Payments 226 Correcting Accounts Payable Errors 235 Open Vendor Bills Paid with a Write Checks Transaction 236 Misapplied Vendor Credit 238 Removing Aged Open Item Receipts or Vendor Bills 239 Making General Journal Adjustments to Accounts Payable 241 Handling Unique Accounts Payable Transactions 243 Bartering Services with Your Vendors 244 Recording Vendor Prepayments 245 Entering Mid-Year 1099 Balances 248 Memorizing Recurring Transactions 249 Depositing a Vendor Refund 250 Paying and Recording a Credit Card Bill 251 9 Setting Up Customers 253 Introduction 253 Customizing Home Page Customer Activities 254 Preferences That Affect Accounts Receivable 254 Payments 255 Sales & Customers 257 Checking 257 Finance Charge 258 Jobs & Estimates 259 Reminders 259 Reports & Graphs 260 Sales Tax 262 Send Forms 263 Spelling 264 Time & Expenses 265 Working with the Customer Center 266 Adding or Modifying Customers and Jobs 267 Finding Customer Transactions 270 Working with Prospects in the Lead Center 272 Setting Up Sales Tax 274 Creating Sales Tax Items 274 Creating Sales Tax Group Items 275 Creating Sales Tax Codes 276 Assigning Sales Tax Codes to Products or Services 278 Assigning Sales Tax Codes and Sales Tax Items to Customers 279 Creating Price Level Lists 280 Creating Payment Terms 281 Customizing QuickBooks Forms 282 Using the Customize My Forms Wizard 282 Using the Customize Data Layout Tool 285 Accounts Receivable Process 289 Using QuickBooks Estimates 290 Using QuickBooks Sales Orders 292 Creating Customer Invoices 292 Recording a Sales Receipt 306 Recording a Statement Charge 307 Recording the Customer Payment 308 Making the Bank Deposit 311 Recording and Applying a Customer Credit Memo 315 Refunding a Customer's Overpayment 317 10 Managing Customers 319 Accounts Receivable Reporting 319 Reviewing A/R Aging Summary and Detail Reports 319 Reviewing the Open Invoices Report 321 Reconciling Balance Sheet Accounts Receivable Amount to A/R Aging Summary Total 322 Viewing the Accounts Receivable Balance on a Cash Basis Balance Sheet 324 Using the Collections Center 326 Generating the Missing Customer Invoices Report 328 Sales Tax Payable Reports 329 Reviewing Customer Lists for Tax Code and Tax Item Assigned 329 Reviewing the Item List for Tax Code Assigned 330 Reconciling Total Sales to Total Income 331 Reconciling Sales Tax Liability to Balance Sheet Sales Tax Payable 332 When a Check or Bill Was Used to Pay Sales Tax 334 Paying Sales Tax 334 Paying Sales Tax Without an Adjustment 334 Paying Sales Tax with an Adjustment 336 Correcting Accounts Receivable Errors 338 Removing an Open Balance from a Customer Invoice 338 Correcting Customer Payments 342 When a Credit Memo Is Applied to the Wrong Customer Invoice 346 When Deposits Were Made Incorrectly 347 Eliminating the Print Queue for Customer Invoices Marked to Print 353 Correcting Sales Tax Errors 354 When a Check or Bill Was Used to Pay the Sales Tax 354 When the Sales Tax Liability Report Shows Past Sales Tax Due 356 When Total Sales Does Not Equal Total Income 358 Correcting Undeposited Funds Account Errors 361 Reviewing the Balance in the Undeposited Funds Account 361 Removing Old Dated Payments in the Undeposited Funds Account 364 Unique Customer Transactions 366 Recording Your Accountant's Year-End Adjusting Journal Entry to Accounts Receivable 366 When a Customer Is Also a Vendor 366 Recording a Customer's Bounced Check 368 Tracking Customer Deposits in QuickBooks 370 Unique Sales Tax Transactions 371 When Your State Imposes a Maximum Sales Tax 371 Multiple Sales Tax Rates on One Invoice 373 Issuing Credit Memos When Sales Tax Should Not Have Been Charged 374 11 Setting Up Payroll 377 Getting Started 377 Payroll Process Overview 377 Selecting and Activating a Payroll Service Subscription 379 Updating Payroll Tax Tables 381 Employer Resources 382 Creating Payroll Accounts in the Chart of Accounts 384 Setting Up Payroll Tax Vendors 385 Payroll Preferences 387 Using the Payroll Setup Interview 390 Using the Run Payroll Checkup Diagnostic Tool 397 Managing Employees 401 Using the Employee Center 401 Adding or Editing Employee Information 402 Finding Payroll Transactions 404 Managing Payroll Items 406 Adding or Editing Payroll Items 406 Reporting About Payroll Items 409 Paying Employees 410 Payroll Home Page Workflow 410 Entering Employee Time 411 Preparing Employee Paychecks 413 Printing Paychecks or Paystubs 415 Preparing Payroll Liability Payments 415 Paying Scheduled Liabilities 416 Adjusting Payroll Liabilities 417 12 Managing Payroll 419 Payroll Reporting 419 Report Center Payroll Reports 419 Excel Reports 420 Tax Forms and Filings 421 Preparing and Printing Tax Forms 422 E-Filing Tax Payments and Forms 423 Troubleshooting Payroll 424 Comparing Payroll Liability Balances to the Balance Sheet 424 Comparing Payroll Summary to Filed Payroll Returns 426 Reconciling Payroll Reports to Business Financials 427 Recording Unique Payroll Transactions 427 Employee Loan Payment and Repayment 427 Reprinting a Lost Paycheck 431 Paying a Taxable Bonus 433 Adjusting an Employee Paycheck 434 Depositing a Refund of Payroll Liabilities 435 13 Working with Bank and Credit Card Accounts 437 Importance of Bank and Credit Card Balances 437 Preferences that Affect Banking and Credit Card Management 437 Working with Write Check Transactions 438 Using the Expenses Tab and Items Tab 439 Writing a Check 440 Printing Checks 443 Entering a Bank Debit Charge 445 Entering Credit Card Charges 446 Paying the Credit Card Bill 447 Transferring Funds Between Bank Accounts 448 Online Banking Center 449 Choosing an Online Banking Mode Preference 449 Activating Online Services with Your Financial Institution 449 Retrieving Online Transactions 450 Adding Downloaded Transactions to QuickBooks 452 Renaming Rules in Online Banking 453 Other Online Banking Features 454 Reconciling the Bank or Credit Card Account 458 Troubleshooting Reconciliations 461 Determining If the Account Has Been Reconciled 461 Verifying That All Account Transactions Have Been Entered 463 Identifying All Uncleared Transactions 464 Completing the Multiyear or Multimonth Bank Reconciliation 465 Reviewing Uncleared Transactions 465 Reviewing Previous Bank Reconciliation Reports 468 Locating Bank Account Reconciliation Discrepancies 468 Reviewing the Voided/Deleted Transactions Reports 469 Restarting a Previously Completed Bank Reconciliation 470 Undoing a Previous Bank Reconciliation 470 Reconciling with an Adjustment 471 14 Reporting in QuickBooks 473 Using the Company Snapshot 473 Customizing the Company Snapshot 473 Defaulting the Company Snapshot as Home Page 476 Report Center 476 Reports & Graphs Preferences 479 My Preferences 479 Company Preferences 479 Modifying Reports 482 Modifying Options Available on the Report Window 482 Customizing Reports 484 Report Groups 485 Creating Report Groups 485 Using Report Groups 485 Managing Report Groups 487 Memorized Reports 488 Exporting and Importing Report Templates 489 Exporting a Report or Report Group Template 489 Importing a Report or Report Group Template 490 Exporting Reports to a .CSV File or to Excel 490 Emailing Reports 493 15 Reviewing Your Data 495 Importance of Reviewing Your Data 495 Reviewing the Balance Sheet 495 Account Types 497 Prior Year Balances 497 Bank Account Balance(s) 498 Accounts Receivable 498 Undeposited Funds 499 Inventory 500 Other Current Assets 501 Fixed Assets 502 Accounts Payable 503 Credit Cards 503 Payroll Liabilities 503 Sales Tax Payable 504 Other Current Liabilities and Long-Term Liabilities 505 Equity 505 Reviewing the Profit & Loss Report 505 Other Reviews 506 Tracking Changes to Closed Accounting Periods 506 Using the Audit Trail Report 507 Using the Credit Card Audit Trail Report 508 Reporting on Voided/Deleted Transactions 510 Viewing the Transactions List by Date Report 511 Troubleshooting Open Balance Equity Account 512 16 Sharing QuickBooks Data with Your Accountant 517 Overview 517 Benefits for the Business Owner 517 Benefits for the Accountant 518 QuickBooks File Types 518 Choosing a Method to Share Data 520 Data Sharing for the Business Owner 522 Reviewing Your QuickBooks Data 523 Creating an Accountant's Copy of Your Data 523 What the Business Owner Can and Cannot Do 529 Importing Your Accountant's Changes 530 Canceling an Accountant's Copy 536 Data Sharing for the Accountant 537 Creating an External Accountant User Type 538 Preparing Your Client for Data Exchange 538 Receiving an Accountant's Copy File 539 What the Accountant Can Do 542 What the Accountant Cannot Do 545 Returning the Accountant's Copy Change File to the Client 545 What to Request from the Client When the Import Is Complete 549 Converting the Accountant's Copy to a Regular Company File 549 17 Managing Your QuickBooks Database 551 The QuickBooks Database 551 System Requirements 552 Installing QuickBooks for Single-User Mode 554 Installing QuickBooks for Multi-User Mode 554 The QuickBooks Database Server Manager 555 Windows Permissions Required for QuickBooks 557 Using the QuickBooks Connection Diagnostic Tool 558 Keeping Your Software Current 559 Upgrading Your QuickBooks Version 559 Installing a QuickBooks Maintenance Release 560 Protecting Your QuickBooks Database 561 Creating a QuickBooks Backup 561 Protecting the QuickBooks Operating Environment 564 Using Intuit Data Protect Online Backup Service 567 Monitoring Your QuickBooks Database 567 The Product Information Dialog Box 567 Using the Verify Data Utility 569 QuickBooks Database Corruption 570 Common Causes of Corruption 570 Signs of Data Corruption 570 The QBWin.log File 571 Repairing List Corruptions 574 Reducing Database File Fragments 575 Rebuilding Your Company File 576 Using the QuickBooks Company File Diagnostic Tool 577 Resolving QuickBooks Program File Corruption Issues 579 18 Using Other Planning and Management Tools 581 Planning and Budgeting 581 Create a Budget 581 Edit a Budget 584 Print Budget Reports 585 Delete a Budget 587 QuickBooks Loan Manager 587 Information to Collect 587 Getting QuickBooks Ready 587 Setting Up a New Loan 588 Setting Up a Loan Payment 589 Using the Year-End Guide 591 Synchronizing QuickBooks Lists with Microsoft Outlook 592 Using the QuickBooks Timer 596 Installing the QuickBooks Timer 596 Preparing the Timer for Activities 597 Tracking Time with the Timer 597 Exporting Timer Activities 598 Importing Timer Activities into QuickBooks 599 A Client Data Review 601 B QuickBooks Statement Writer 657 C QuickBooks Shortcuts 687 TOC, 9870789749185, 7/19/2012