QuickBooks Online 2021 sales receipt payment received at point of sale. Let’s get into it with Intuit QuickBooks Online 2021. Here we are in our get great guitars practice file where we’re going to be entering some sales receipts before we do so let’s open up our financials balance sheet income statement and trial balance. So we’re gonna duplicate some tabs up top right clicking on the tab, duplicate it, going to do it again, right click on the tab duplicate one more time, right click on the tab and duplicate.
Let’s then go down to the reports on the left hand side, we’re going to be opening up the trial balance by typing into the little find search thing here the trial balance, and there it is, that’s the one, let’s do a range change up top range change ending at 1231 to one and run that report. I’m going to close up the hamburger hold down Control, scroll up just a bit to that one to five, go to the second to end tab back on down to the reports on the left hand side. This time, we’re going to be opening up the PnL Profit and Loss the income statement, close up the hamburger up top range, change it ending at 1231 to one and run that report. So there’s our income statement.
And let’s do the next tab on over for the balance sheet. Go into the reports on down the left hand side, we’re going to be opening up our favorite report that being the balance sheet report. And we’ll click on that because that’s how we open it, click on it, and then close up the hamburger range, change it ending at the 1231 to one and run that report. So now we’re going to enter a sales receipt, I’m going to take a quick look at the desktop version, not because you need the desktop version, but because we just want to look at the flow chart and it has one.
So let’s go on over to it. We’re in our sales cycle. Last time we took a look at basically invoices, and then the received payment, we have not yet made a deposit for them. We’ll talk about that later. But we want to now think about the Create sales receipt, you can think about these as the items you would have like if you were in the front of a cash register or something like that, where someone pays you at the same point in time. In our case, we’re imagining someone like bringing a guitar to the cash register, and they’re gonna pay for it like that point.
And then we’ll ring it up. And we’ll get paid at the same point in time as opposed to billing and then getting paid. Now as we get paid at the same point in time, we have the same kind of issue within that, do we want to put that payment directly into our checking account?
Or do we want to put the payment into undeposited funds and then transfer it to the checking account, it’s more likely if you’re actually in the store that you’re going to want to put it into undeposited funds so that you can compile the payments that you have, and then take them to the bank, at the end of the day, when they go into the bank, all the cash payments that you received are going to be deposited together most likely. And therefore you want to make sure that you group them in the same order in the bank as they are in your books so that you can do the bank reconciliation.
So it’s probably you know, maybe even more likely that you use the undeposited funds. However, if you get paid like by cheque by cheque or payment by payment, and you just or electronically put that into the banking account, then and you do it one at a time one payment at a time, then you may not need the added step of then going to the bank and depositing them and therefore going through the undeposited funds account.
So we’re going to go back on over and what’s going to happen when we do this, it’s going to be similar to an invoice except that instead of having accounts receivable go up, we’re going to get some form of cash payment at that or not not necessarily cash but some kind of payment. So therefore, instead of accounts receivable going up, we’re gonna say like cash would go up, but we’re not going to put it directly into the checking account, but instead into undeposited funds, where we will then deposit them at a later time when we go to the bank.
The other side then is going to go to the income statement. So if I jump on over to the income statement, if we sell inventory, it’s going to be included in the sales of the product line item. But it will only go up by the sales amount not including the sales tax, the sales tax will then go back to the balance sheet be on a payable down here, it’s going to be on a payable to us going to the Department of California sales tax. And then we have the accounts receivable, the inventory also going down. So we expect to see inventory going down, we expect the other side then going back to the income statement, the cost of goods sold.
Then if we go back to the balance sheet we also note that the sub ledger, since we’re tracking a perpetual inventory system will also be tracking the decrease in the inventory here as well. Let’s check it out. Let’s go to the first tab to actually do it. First tab, drop down in the plus button. Customer section. We’re not doing an invoice this time we’re doing a sales receipt where imagine we’re at like a cash register. We got paid at the same time. Someone brought a guitar up to the to the desk where our cash register QuickBooks thing is at and we said sales receipt. We’re going to record it we’re going to open that up.
We’re going to say the customers string music string Music, which I’m just making up string music. And I’m going to add that as we go. So we’re adding string music as we go, because this is a new customer. And so there we have it, I’m just gonna do a quick add, I’m not going to put the email address, obviously, if it was a customer, we would probably want as much data as possible depending on the type of industry we are in, so that we can send them our newsletter and you know, all the good stuff we’re doing, how we’re saving the world, and our own special way.
And then we’re gonna say tab and then this is going to be the number that’s going to then populate automatically location tags, and then we’re down to the payment, I’m going to say cash payment, this is the payment type could be a cheque could be a credit card, and so on. We’re gonna say cash because we’re imagining we’re going to be compiling lien the cash, and then we’re going to deposit it along with the other cash payments we got with the received payment ones in the bank.
So then we’re going to have the checking account, now we could deposited directly into the checking account, we might use, then once again, the undeposited funds, and that’s what we’re gonna do here, we’re gonna put it through undeposited funds, then take them out of undeposited funds, putting them into the bank, in the same grouping as they will be seen on the bank statement, then we’ll go down to the product, we’re going to sell an Epiphone semi hollow body.
So if I hit the drop down, the code for that is an EP sh. Epiphone, semi hollow body, there’s the description populating for us. And so it’s going to be we had one of those $400 sales tax, I should be automatically applied, but I’m going to check it off here, we want the sales tax to be applied out. And then down below, I’m going to calculate the math just to be a straight 5%. Again, so I’m going to change the math down here on our sales tax. So it’s not like a California specific but like generic override it, I’m going to simply override it.
And say I just want to 5% rate just so we’re just have a generic sales tax at 5% $20. Why, because other and then confirm, and close. So there we have it, what’s going to happen when we record this, it’s going to be increasing, because it’s a sales receipt, some kind of cash account, but it’s not going to go into the checking account, rather, instead, it’s going to go into undeposited funds there.
And that’s going to be for the full amount of the 420. The other side is going to go to income on the income statement, but it’s only going to be for the 400. The difference between those two being the tax sales tax, which is charged by the government and therefore never hits kind of the income statement, because we’re just the collection agency that they they made us they made is collected for them. So we’re going to increase then the liability on the balance sheet for that. And then also inventory is going to go down by some amount that’s not in here.
But because it’s a perpetual inventory system, and the system knows what the cost of goods sold, or the cost is from the inventory item, the inventory is going to be decreased. And we know that the cost of goods sold, the expense related to us consuming the inventory is going to then be going up, as well as the sub ledger for inventory being affected as well for the units of inventory on a perpetual inventory system. Let’s check it out. See if we’re right on that. See if see if that is actually what does happen.
So then let’s go back to the balance sheet. And let’s freshen this report up. So we’re working with fresh stuff. And then if we go down, we’re gonna say undeposited funds should have gone up, if I go into undeposited funds, we then have our sales receipt. Now there’s our sales receipt, string music, that was for the amount of the 420. That’s the full amount of the invoice, including the sales tax, going back to the balance sheet, the other side, basically, on the income statement, I’m going to the next tab over income statement, let’s make a fresh report here, run that report, this one looks a little old, I could smell it getting old, we’re gonna then go down to the sales. And here it is, we’re gonna say that this one was the sales receipt.
So this one was for the 400. Now, so that’s that’s our sales amount, not including the sales tax that was included in on it. So there it is the 400. Scrolling back up, the difference between those two is going to be the sales tax. And I’m going to go back to my report before I go find the sales tax. So we have the income statement, then I’m going to go back to the balance sheet. And that’s where the sales tax is going to be. It’s going to be here in the California Department of tax because that’s who we pay, it’s a liability. I won’t go into it now because it’s going to be broken out a little bit funny, but it’s in there, trust me, it’s in it’s in there. And then the inventory is going to go down.
So inventory up top should be going down. Let’s check that out. inventory is going down for the sales receipt, which is this one. And there’s the 320 that it’s going down by that 320. If I click on the 320 it’s not actually on the invoice, but the invoice knows that it should be decreasing by 320 because it’s driven by the inventory item it knows by the inventor taury item, scrolling back up, and going to go back to then our balance sheet, the other side is going to be on the income statement second, next tab over. And that’s going to be in cost of goods sold cost of goods sold. And if I go, then to the sales receipt, there’s the other side of that 320.
That looks good. Scrolling back up, going back then to our profit and loss. We also note if I go back to the first tab, that the inventory account will be affected as well with our perpetual inventory system for the inventory reports. Let’s open another tab to check those out, I’m going to right click on the tab for right, duplicating that tab. Going down to the reports on the left hand side.
And I’m just going to type in inventory because we’re looking for inventory reports. So I’m just gonna type in inventory. And we want the inventory valuation summary inventory valuation summary, as of 1231, to one, run it, close the hamburger. And so there we have it, and I think we sold it wasn’t an EP EP, EP sh this one, we have no more of those, they’re gone that are totally gone. And we’re now at the 27 932. If I go back to the balance sheet, we see the 27 932 there as well.
Now we’re going to do another one, but this time, we’re going to consider it not having an inventory item like what if we sell something that’s just a service item, once again, at the same point in time that we get paid, it’s going to be a little bit easier, because usually we don’t have sales tax involved.
And obviously, we don’t have to track the perpetual inventory system in that case. And that case, undeposited funds would be going up again, other side going to income. In essence, that’s it. So let’s check that out. Let’s go back to the first tab, do that one, it’s going to be easy after the inventory one and we’ll hit the plus button, we’re gonna go down here to the sales receipt.
And new customer I think I don’t think we have this one. His name is what are called Sam, the Guitar Man, Sam the Guitar Man. But that’s not how you spell guitar. Sam, the Guitar Man. And I did that on purpose. So you can see that the customer line doesn’t does indeed pick up the spellcheck in there, like when you’re typing it.
So then I’m gonna say tab, I’m going to add it, we’re gonna say save that tab and down and 16th will keep that inventory that looks good. And then they’re going to sell. So we’re going to, we’re going to sell some of our products or our services now. So one’s going to be a diagnostic. So I’m going to make a diagnostic, which I’m not exactly sure what that is, because it sounds more like a car thing.
But, you know, acoustic or guitar diagnostic. And we’re going to have 10 of those 10 of those. Now, the point here is just that, when you when you’re grouping things together, and you have service items, it would be a lot easier, you could just have hourly rates. But if you can group your service item into bundles, like a diagnostic or something, whatever that would be for a guitar.
But if you’re like a lawyer, or if you’re going to be a bookkeeper, if you can group your information together, like this is my group bookkeeping service for this range of basically transactions, because you can basically judge how large customers by the range of transactions, for example, then it becomes your billing will be easier.
So I highly recommend thinking about that and seeing whether or not you can do that kind of kind of thing. And so then we I’m gonna say hourly service one. So hourly service one. So we’re gonna say that some kind of package bundle thing that we have here. And that’s going to be for how many of those 15 of those we’re going to say. And then we had tuning support, tuning support, which again, sounds kind of like an automobile.
And this is tuning a guitar, and I don’t think it’s spelled right, but that’s okay. Sorry about that. And this is going to be quantity 12 and the 200 at the rate. So now we’ve got the 680, the 2001 and the 2004, for a total of the 5180 5180. So no sales tax is going to be applicable, because oftentimes, there’s not for the service items. So what’s this going to do? It’s going to increase undeposited funds, because it’s a sales receipt. So we got some kind of payment.
In this case, we’re going to say if the payment was cash, I’m going to say again, which is a lot of cash, but I’m going to say cash, and it’s going into undeposited funds. So we’re going to put it into undeposited funds again. And then the other side is going to go to sales, it’s going to be driven by these these inventory items. And we’re going to put them to like a service item as opposed to the same account for the sale of the products or the inventory. So we’re going to say save it and close it and we’ll take a look at it. Save it, close it back to then the balance sheet.
We’re going to go back up and run the report to make it fresh. And then go down to the undeposited funds. And in undeposited funds, we’ve got the 5001 80. So there it is, notice the split down here is because it’s got those multiple line items in it instead of just one line item. And then if I go back up top, back to our, our report, and we go to the income side of things, we’re gonna go to the income statement, I’m going to make this report fresh, throw it in the microwave, warm it up. And then this is a service item. So we want that one.
And then notice in here, it put it in here by three separate items with the same invoice number of the 104. So it put it in there by a line item, because it’s possible that the separate line items, you know, are going to another income account or something like that. But if I go into it, any one of these, it’ll take us to, of course, that same sales receipt, which has all three of those line items on it. So there it is all three line items, then on that one sales receipt, closing this back out, scrolling back up back then to the income statement, if we then go to the trial balance, we could see this information a lot easier.
So if I was to run this report, and you were to check this same information out on the trial balance, you can do it with one report. So for example, that first sales receipt, we can see, okay, the undeposited funds went up, and then on the income statement side, which is down here, the sales went up. And then the difference between the two went to this account, which is going to be the sales tax payable. In essence, we also know that the inventory went down, which is on the balance sheet in the assets section. And we know that the cost of goods sold was the other side that was impacted.
This thing is in order, of course, by balance sheet on top of the income statement, which in turn it will be assets liabilities equity, on top of the income statement, Revenue and Expense Type of accounts. We can also see that this inventory item here, this 27 932 should tie out to our inventory report on the right. If we run if we refresh this report, we now are at that 27 932 that shouldn’t have changed because we didn’t sell any inventory. So if we go back to this tab, then this is where we are at this time so you could check your numbers each time I’ll try to print these out after each section. So we have that for the checking of the numbers.