Using QuickBooks

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Contents 1 Changing Company Information 2 Adding Accounts to the Chart of Accounts 3 Reconciling Accounts to Bank Statements 4 Printing Cost of Goods Reports 5 Printing Trial Balance Reports

This section contains answers to common issues. Refer to the QuickBooks online help for more information on using QuickBooks beyond what is covered in this section.

Changing Company Information

To change the information in your company file:

1. In QuickBooks, on the Company menu, click Company Information. The Company Information window opens.
2. You must keep this information up-to-date so that the correct information prints on your reports and tax forms. Click OK when you are finished updating the information.

For assistance with this window, use the help options at the top of the window, or refer to the QuickBooks online help.

Adding Accounts to the Chart of Accounts

Occasionally you will need to add an account to your QuickBooks Chart of Accounts. For example, the first time you enable store transfers and each time you add a product category or paid in/out type to Mercury Administration, you must create an account for these items before you can export data into QuickBooks. You are warned when this is necessary. For example, when you add a product category to Mercury Administration, you receive the following message:

QuickBooks general ledger account must be created for this Product Category. Please update Chart of Account in Accounting application.

Or when you add a paid out/in type, you are also notified:

QuickBooks general ledger account must be created for this Paid Out/In Type. Please update Chart of Account in Accounting Application.

To add accounts to your QuickBooks Chart of Accounts:

Re-run the FTD Mercury Chart of Accounts Wizard (for example, after you have enabled store transfers or added your product categories and/or paid in/out types).

You cannot delete product categories and paid in/out types in Mercury Administration after accounts are created for them in QuickBooks.

To add a new account to your Chart of Accounts due to enabling store transfers or adding a new product category or paid in/out type:

1. On the FTD Mercury Main Menu, click Accounting. The Accounting module opens.
2. Click Chart of Accounts.
3. In the first panel of the wizard, highlight the company file for which you are adding an account. Then click Next.
4. In the Create Bank Accounts panel, click Next.
5. In the Credit Cards panel, click Next.
6. In the Create Paid Out/In Types panel, if you added a paid in/out type since the last time you ran the Chart of Accounts Wizard, the paid in/out type is listed without a check mark in either the Cost of Goods Sold or the Operating Expense columns. Check whether the paid in/out type is related to cost of goods sold or operating expenses by selecting in the appropriate check box.
7. Click Next.
8. In the Setup QuickBooks Chart of Accounts panel, if you added any product categories or enabled store transfers, this screen lists those product categories or accounts associated with store transfers along with your other accounts. You must scroll down and locate these accounts, then select the Create GL Account? check box if you want to include them in your Chart of Accounts. By default the SALES account is selected (because it is required) but the COSTS account is not selected (because it is optional).
   

   General Ledger accounts associated with store transfers are created by default, since they are required for correct accounting of store transfers.

9. After checking all of the accounts you want to include, click Create. You are notified when the update is complete, and that your new accounts were added to QuickBooks.

Reconciling Accounts to Bank Statements

Your QuickBooks records should agree with all of the financial statements you regularly receive, such as checking and credit cards. The process of balancing your statements with your QuickBooks accounts is called Reconciliation. This process is done in QuickBooks. You should reconcile regularly when you receive your statements. You will have to enter entries into QuickBooks such as service charges and interest.

To access Reconciliation:

1. On the QuickBooks Banking menu, click Reconcile.
2. At this point you are prompted for the account you want to reconcile, the ending balance, and for service charge and interest amounts.

For more information, please refer to the QuickBooks online help (after clicking the Banking menu, then clicking Reconcile, click the How do I? button in the upper right hand corner of the window).

Printing Cost of Goods Reports

The Profit and Loss report in QuickBooks includes all income including inventory and non-inventory sales. To create a report to identify Cost of Goods percentages based on actual inventory sales, you need to create a custom report in QuickBooks. By creating this report you will then be able to determine your actual Cost of Goods based on your entries for the month, year, or any date range you prefer.

To create a custom Cost of Goods report:

1. On the QuickBooks Reports menu, point to Company & Financial, and click Profit & Loss Standard.
2. Click the Modify Report button in the upper left hand corner of the report.
3. On the Display tab, select from the Dates list the default date range that you want to use for the report (you can also specify a date range by selecting dates in the From and To fields). Then click the % of Income check box.
4. Click the Filters tab. On the Filters tab, click the arrow in the Account field to display a list. From the list, select Selected accounts (you have to scroll all the way up).
5. The Select Account window opens. Scroll through the list of accounts and select the accounts that you want to include in the report. Select the sales accounts, then scroll down and select the cost of goods sold accounts that relate to the sales accounts on the report. To select an account, click on it so that a check mark appears next to the account number.
6. When you are finished selecting accounts, click OK. You are returned to the Filters tab.
7. Click the Header/Footer tab. On the Header/Footer tab, type a descriptive name for the report in the Report Title field, such as Cost of Goods Report.
8. Click OK. The report results display on the screen:
9. Click the Memorize button at the top of the report and then click OK. The report is then saved as a Memorized report.

To access this custom report in the future:

1. On the Reports menu, point to Memorized Reports, and then click on the report.
2. When the report opens, you can change the date range for the report at the top of the screen.

Printing Trial Balance Reports

QuickBooks allows you to generate a Trial Balance report for given date. You can view the report on your screen before printing to your printer.

The Trial Balance report is displayed in debit and credit format and creates a balance as of a specific date. It adds up all of your credits and debits so that mistakes can be traced if your debits don’t equal your credits.

To print the Trial Balance report:

1. On the QuickBooks Reports menu, point to Accountant & Taxes, and click Trial Balance.
2. The report displays on your screen. To change the dates on the report, either click the Dates list to select a predefined date range, or select individual dates in the From and To fields to specify a custom date range.

For more information on the Trial Balance report, see your QuickBooks online help.