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January 25, 2021
Question

Why dont my sales match my profit loss

  • January 25, 2021
  • 1 reply
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1 reply

January 25, 2021

Hi robert96, 

 

Welcome to the Community! QuickBooks Online includes a number of reports that allow you to examine the health of your business. It can be confusing if your sales amounts don't quite match the balances on your profit and loss report, but don't worry, I can shed some light on what may be happening. 

 

There are several things you'll want to double check, the first being the date ranges of the reports. If the date ranges aren't the same on both reports, the balances will be very different, so I recommend rerunning the reports and confirming that the date ranges match. The same thing can happen if the accounting bases (accrual versus cash) of the reports are different. Unless authorized by the Canada Revenue Agency to report using cash basis, all businesses report using the accrual basis, so I would check that as well just in case. You can learn more about running reports here: Run reports in QuickBooks Online

 

If both the date ranges and the accounting bases of your reports match, then it could be due to some sales being posted to the incorrect account or because some other type of income besides sales has been posted to a sales account and throwing off the balances. To determine what is going on, I recommend running both the sales report and the profit and loss report in detail so that you can see the transactions that make up the report balances and narrow down what is causing the difference. This can be done by selecting the Profit and Loss Detail report and either one of the following sales reports: Sales by Class Detail, Sale by Customer Detail, Sales by Customer Type Detail, or Sales by Product/Service Detail. You can find a full list of available reports in this article: Reports included in your QuickBooks Online subscription. Like mentioned in the previous paragraph, ensure that the same date range and accounting basis is used for both reports when running them. You'll then review the reports line by line to determine what is causing the difference. 

 

If you're still having issues determining the cause, I recommend reaching out to an accountant since they're experienced in determining the sources of variances and getting accounts to match properly. You can invite your accountant to view your QuickBooks Online company through the My Accountant tab. If you're not currently working with an accountant, you can use the Find a pro to help button to begin searching for a QuickBooks certified Pro Advisor near you. 

 

I hope this helps. Don't hesitate to reach out if you have any other questions!