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C
Cheatcode
October 10, 2023
Question

Invoices & Journals

  • October 10, 2023
  • 1 reply
  • 0 views

1. You make a sale of mineral Y to one of your large regional distributors.

         Entry DR Regional distributor (Rec)

                     CR Sale

2. Due to scarcity of this mineral, you decide to send your sales team to collect some products from the regional distributor (without paying them) inorder to sale to other clients.

Journal Entry DR Sales 

                            CR Regional Distributor (Rec)

3. Sales team makes a sale to Customer X

          Entry DR Customer X

                       CR Sales

I believe these would be the right entries, however when punched into quickbooks, these all fail to validate (the trasactions remain open) i.e a new invoice isn't captured for Customer X

Is there a way out?

1 reply

L
LeizylM
October 11, 2023

I understand the importance of ensuring that all transactions are properly captured and closed out in QuickBooks Online, Cheatcode.

 

Based on the entries you have provided, it seems that there is a discrepancy or missing step in the process. We can use an accounts receivable to link the journal entry with the invoice to close it out in QuickBooks Online. But before doing so, it would still be best to consult with your accountant. This way, you'll be guided according and well ensure your accounts are well accounted for. 

 

Here's how: 

 

  1. Go to the Plus (+) icon, then select Journal entry under Other.
  2. Enter the Journal Date.
  3. Under the Account drop-down, choose the account affected by the transactions, then enter the amount in the Debit column.
  4. On the second line, add the Accounts Receivable.
  5. Select the customer's name in the drop-down.
  6. Leave a reason in the Memo field.
  7. Tap on Save or Save and close button to record the transaction.


 

I'm adding this article for the detailed steps and information on each step: Resolve accounts receivable or accounts payable balances on a cash basis balance sheet in QuickBooks Online. 

 

In case you want to access the Balance Sheet Report to review the balance in AR go to the Reports tab. You can select the amount associated with the Accounts Receivable account and customize the report to display the specific details you need. 
 

I'll be around if you have other concerns about managing your transactions in QBO. I'm always here to help. Have a great day. 

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