I have 3 divisions, each having a different A/R account. How do I determine the A/R account when invoicing?

You can not do that in QBO, in QBO there is one a/r account that is used.  Even though QBO allows you to create more than one a/r or a/p account, the interface will not allow their use

Hi there, sflaa1.

We have two options you can take to determine the Accounts Receivable (A/R) account to use when invoicing. And I'd happy to share them with you.

Before we proceed, please know that your default and only A/R and A/P accounts are the ones that were created when you set up your company in QuickBooks Online. Thus, these default accounts will show when running a report.

Your first option is to set up a parent and sub-customers to group your open receivables. This way, it'll allow you to group and sub-total your open receivables by the parent customer.

Here's how to create parent customers:

1. From the left panel, click Sales, then select Customers.
2. Click New customer, then specify a name for the account in the Company filed. You can use the name of an Accounts Receivable account to identify the parent customer.
3. Hit Save.

Then, you need to identify which customers are sub-customers of the parent you created. 

1. Go to the Customers page, then locate and select the existing customer to change.
2. Click Edit to open Customer information.
3. Select the Is sub-customer checkbox.
4. Choose the parent customer you created from the Parent drop-down list.
5. Click Save.

Once done, you can run and customize any customer reports by the associated parent accounts to determine your open receivables.

While your second option is to use the location tracking feature to group your receivables. Firstly, let's turn on the feature. Here's how:

1. Click the Gear icon, then select Account and Settings.
2. From the left menu, select Advanced.
3. In the Categories section, click the pencil icon to edit.
4. Put a checkmark on the Track locations box.
5. Click Save.

Then, go to the All Lists page to set up different locations to use. Once done, you'll have to make sure that all transactions are assigned to a location associated with an Accounts Receivable type. And run the Customer Balance Detail report and customize it by location.

Here's an article you can read on for more details: How to Group Accounts Receivables Account Types.

However, I still encourage seeking help with your accountant. He/she could guide you which option to take based on your recording practice and business needs.

You might also want to check out this article to learn how to create memorized A/R reports with email reminders.

Just hit the Reply button below if you have additional questions with QuickBooks. I'm always here to help.