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shahidevolvers
March 24, 2021
Solved

Regarding Quickbook calculation

  • March 24, 2021
  • 1 reply
  • 0 views

Hi guys, i have created an invoice on quickbook, which has multiple items. i applied discount and taxes on it. but i am confused with its calculation. as it is returning 448.40 if 9.975% is applied on 4495.16 instead of 448.39 as you can see in the attached SS of invoice. can somebody break its calculation for me as i have to replicate these calculation on my app. thanks

Best answer by JamesM4

Hi shahidevolvers,

 

QuickBooks is the go-to program for business owners looking to streamline their business. It's important you know how the calculations work in QuickBooks so you can continue to do your work with peace of mind. I'd be glad to share more information in regards to the calculations on your invoice. 

 

I took a look at the calculations on the screenshot and they are correct. The reason why you're seeing a $448.40 is that QuickBooks rounds up to the nearest decimal point. For example, 0.9975 x 4,495.16 = 448.38221 and after rounding up that number, you get 448.40. 

 

Let me know if this explanation helps bring things into perspective. You're more than welcome to reach back to me in the comments below if you have other questions. I've got your back. 

 

1 reply

J
JamesM4Answer
March 24, 2021

Hi shahidevolvers,

 

QuickBooks is the go-to program for business owners looking to streamline their business. It's important you know how the calculations work in QuickBooks so you can continue to do your work with peace of mind. I'd be glad to share more information in regards to the calculations on your invoice. 

 

I took a look at the calculations on the screenshot and they are correct. The reason why you're seeing a $448.40 is that QuickBooks rounds up to the nearest decimal point. For example, 0.9975 x 4,495.16 = 448.38221 and after rounding up that number, you get 448.40. 

 

Let me know if this explanation helps bring things into perspective. You're more than welcome to reach back to me in the comments below if you have other questions. I've got your back. 

 

    S
    shahidevolversAuthor
    March 24, 2021

    @JamesM4 thanks for the quick and detailed response.

    i have one question that why it is does not round 0.05 x 4,495.16 = 224.758 to 224.8 and instead it rounded it to 224.76. as you can see in the attached picture. thanks

    J
    JamesM4
    March 24, 2021

    No worries. I can how these small amounts can make a difference in your books, however, the rounding you're seeing on your end is how the program is designed to round up the amounts. I encourage you to check out this article here which goes in-depth on how rounding works in QuickBooks.If you have suggestions or any feedback, I recommend sending it to our engineers by clicking the Gear icon and looking for Feedback. 

     

    Feel free to ask other questions, I'm here to help. 

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