I am not an accountant but I have an accounting degree and am trying to clean up our books after our bookkeeper left. I am pretty familiar with QBO, at least on the day-to-day level. If I receive an invoice on, say May 5, that is for the period April 28 to May 4, and I enter the invoice on May 5, is there any way to have QBO allocate 3/7 of it to April? Or do I have to do it manually with a Journal Entry? Likewise, if I receive a payment on May 5 for the same period, can I have QBO allocate 3/7 of that revenue to April without a Journal Entry?
Invoice Amount Straddles Month End
Answers
Technically I would agree to allocating the income and expense.
However, operationally, I would determine MATERIALITY of the figures on a month to month basis. I only have 2 criterias.. (1) Consistency of recording/adjustment (2) Year end or important dates are adjusted...ie, you are minimizing the number of times you need to adjust/allocate.
Okay, I may not have answered your question but hope it gave you another way to look at it.
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