How to track non inventory items in QuickBooksby Business Accountings QuickBooks Accounting Software
In QB, Inventory is a special type of Item – used when buying items now and sell, or use them later, but don’t use for construction work in progress.
If you are a user of QuickBooks you are most likely familiar with the importance of items to use the software correctly. You probably also know that there are several types of items, such as Inventory Item, Fixed Asset Item, Sales Tax Item, Sales Tax Group Item, Sub-total item and others. Let’s take a look at one in particular.
For many companies, inventory is enabled if you create your company file using the “EasyStep Interview.” However, if you did not enable inventory when you created your company file, you can enable it at a later point in time. You can enable inventory within your company file and view the default inventory preferences, by selecting “Edit| Preferences…” from the Menu Bar. In the “Preferences” dialog box, select “Items & Inventory” from the scroll box at the left side of the window. To the right, click the “Company Preferences” tab and make sure the “Inventory and purchase orders are active” checkbox is selected in order to enable inventory-related features in your QuickBooks company file. Then set any additional default settings needed for inventory and items. Click “OK” to set your default inventory preferences.
If you want to learn more about using expense accounts in QuickBooks, select and click to proceed through the informational screens. Otherwise, select and click .
You can set up “Inventory Part” items within the Item List to create items for which you want to track the quantity and value in QuickBooks. You cannot show inventory value for a manufacturing company or where the inventory value is changed as it goes through a process, as it is simply too complex for QuickBooks to compute. However, if you have items that you purchase from a vendor, hold as inventory, and then resell to customers, you can set up those items as “Inventory Parts” for ease of tracking in QuickBooks.
QuickBooks uses the information you provide about your income to determine which income and accounts receivable features to use. Accounts receivable refers to the money owed to you for unpaid sales. This feature in QuickBooks lets you track money owed and the dates payments are or were due.
Expense accounts let you track the money your company spends in various areas such as equipment rental, office supplies, utilities and travel. Expense accounts can be subdivided into subaccounts, which make it easier to view and analyze exactly where money is being spent.
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Created on Dec 10th 2020 03:41. Viewed 350 times.