Learn the basics of creating a new company file and populating it with two months of data input.
Read more.Instructor
Robert (Bob) Steele CPA, CGMA, M.S. Tax, CPI
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Who this course is for:
- Accountants
- Bookkeepers
- Business owners
What you’ll learn:Â
- Building of an accounting system and entering two months of data input into it
- The difference in complexity of entering data for the first month of operations, a time when we have no historical data to help us, and entering data in following months, a time when we do have prior history and transactions to help simplify the process
Requirements:Â
- No prior knowledge is required to take this course
Software version used in the course:
- QuickBooks Desktop 2022
This course will discuss the building of an accounting system and entering two months of data input into it. We will compare the process using an accounting system in QuickBooks Desktop and an accounting system using Excel. Because Excel is a much more transparent tool, it will provide us a much better understanding of the workings of QuickBooks.
QuickBooks Desktop components of the course
We will create a new company file and populate it with two months of data input.
The data input will cover every significant form in each operating cycle, including the revenue cycle, the payables cycle, and the payroll cycle. The primary operating cycles are also commonly grouped as the customer, vendor, and employee cycle.
As we enter financial transactions, populating forms, we will analyze the impact on the financial statement and related reports.
Entering two months of data will allow us to see the difference in complexity of entering data for the first month of operations, a time when we have no historical data to help us, and entering data in following months, a time when we do have prior history and transactions to help simplify the process.
Excel components of the course
In this course, we will create an accounting system starting from a blank Excel worksheet and add beginning balances to our accounts.
Learners will learn how to navigate Microsoft Excel as well as how to create a well-designed accounting worksheet, complete with a general journal, trial balance, general ledger, and subsidiary ledgers for accounts receivable, accounts payable, and inventory.
Excel is a very good tool to learn accounting because it is much more transparent than a database program, like accounting software, QuickBooks being a common example of accounting software.
For most new steps in the process, you will have access to a downloadable Excel Workbook, containing at least two tabs, one with the answer, the new steps being completed, the other starting out where the prior presentation left off.
Once our accounting system using an Excel worksheet is set up, we will add journal entries to enter beginning balances to our accounts, imagining we are moving from a prior accounting system to our new Excel worksheet system.
When adding the beginning inventory balance to the chart of accounts, we will also add an inventory subsidiary ledger, reporting inventory by item and unit, as well as by cost.
As we add the beginning accounts receivable balance to the chart of accounts, we will also add the accounts receivable subsidiary ledger, showing the money owed to the company by the customer.
And when we add the accounts payable balance to the chart of accounts, we will add the accounts payable subsidiary ledger, reporting the money owed by the company to vendors.
Our Promise to You
By the end of this course, you will have learned how to enter two months of data input into an accounting system.Â
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Course Curriculum
Section 1 - Excel - Create Worksheet For New Company Accounting Transactions | |||
6010 Set Up Excel Worksheet | 00:00:00 | ||
6012 Set Up Excel Worksheet #2 | 00:00:00 | ||
6014 Set Up Excel Worksheet #3 | 00:00:00 | ||
6016 Set Up Excel Worksheet #4 | 00:00:00 | ||
Section 2 - QBD- Start A New Company File | |||
Course Resources | 00:00:00 | ||
6010 Restore And Backup Data Files | 00:00:00 | ||
6040 Create A New Company File | 00:00:00 | ||
6060 Increase Size Of Icons | 00:00:00 | ||
Section 3 - Excel - Adding Inventory Items And Related Inventory Account Balances | |||
6300 Inventory And Inventory Subsidiary Ledger | 00:00:00 | ||
Section 4 - QBD - Company Preferences | |||
6080 Company Preferences Accounting | 00:00:00 | ||
6100 Company Preferences Bills, Calendar, And Checking | 00:00:00 | ||
6120 Company Preferences Desktop View, Finance Charge, And General | 00:00:00 | ||
6140 Company Preferences Integrated Application And Items And Inventory | 00:00:00 | ||
6160 Jobs And Estimates, Multiple Currencies, Payments, And Payroll | 00:00:00 | ||
6180 Company Preferences Reminders And Reports And Graphs | 00:00:00 | ||
6200 Company Preferences Sales And Customers And Sales Tax | 00:00:00 | ||
6220 Company Preferences Search, Send Forms, Service Connection, Spelling, Tax 1099, And Time And Expenses | 00:00:00 | ||
Section 5 - Excel - Add Customers, Add Vendors, And Accounts Receivable And Accounts Payable Balance | |||
6340 Accounts Receivable And Subsidiary Ledger | 00:00:00 | ||
6360 Accounts Payable And Subsidiary Ledger | 00:00:00 | ||
6362 Financial Statements | 00:00:00 | ||
Section 6 - QBD - Adding Service Items And Inventory Items | |||
6240 Options For Interring Items, Customers And Vendors | 00:00:00 | ||
6260 Enter Service Items | 00:00:00 | ||
6280 Inventory Tracking Options | 00:00:00 | ||
6300 Set Up Inventory Items | 00:00:00 | ||
Section 7 - QBD - Sales Tax Setup, Add Customers, And Add Vendors | |||
6360 New Vendors Setup And Accounts Payable Beginning Balances | 00:00:00 | ||
6320 Sales Tax Set Up | 00:00:00 | ||
6340 New Customers Setup And Accounts Receivable Beginning Balances | 00:00:00 | ||
Section 8 - Excel - Add Opening Account Balances | |||
6380 Add New Accounts And Opening Balances | 00:00:00 | ||
6383 Adjust Beginning Balances in Worksheet for Current Period Data Input | 00:00:00 | ||
Section 9 - QBD - Month 1- Record Owner Investment, Purchased Of Fixed Asset And Investment | |||
7020 Deposits Owner Investment And Loan | 00:00:00 | ||
7040 Purchase of Furniture And Investment Transactions | 00:00:00 | ||
Section 10 - QBD - Opening Balances, Adjustments to Equity, And Manual Payroll Setup | |||
6380 Add New Accounts And Opening Balances | 00:00:00 | ||
6400 Adjust Opening Balances | 00:00:00 | ||
6420 Set Up Manual Payroll | 00:00:00 | ||
6440 Generate Reports After Entering Beginning Balances | 00:00:00 | ||
Section 11 - QBD - Month 1 - Record Owner Investment, Purchased Of Fixed Asset And Investment | |||
7020 Deposits Owner Investment And Loan | 00:00:00 | ||
7040 Purchase Of Furniture And Investment Transactions | 00:00:00 | ||
Section 12 - Excel - Month 1 - Record Owner Investment, Purchase Of Fixed Assets And Inventory | |||
7020 Record Deposits from Owner And Loan | 00:00:00 | ||
7040 Purchase of Furniture And Investment Transactions | 00:00:00 | ||
Section 13 - QBD - Month 1 - Enter Purchase Order And Enter Check Or Expense Form From PO | |||
7060 Enter Purchase Order P.O. | 00:00:00 | ||
7080 Cash Payment For Inventory Linked To Purchase Order P.O. | 00:00:00 | ||
Section 14 - Excel - Month 1 - Enter Transactions For Purchase Of Inventory | |||
7080 Cash Payment For Inventory Linked To Purchase Order P.O. | 00:00:00 | ||
Section 15 - Excel - Month 1 - Enter Transactions For Sale Of Inventory And Deposits | |||
7100 Invoice Selling Inventory | 00:00:00 | ||
7120 Receive Payment From Previous Invoice | 00:00:00 | ||
7140 Sales Receipt Payment Received At Point Of Sale | 00:00:00 | ||
7160 Deposits From Undeposited Funds | 00:00:00 | ||
Section 16 - QBD - Month 1 - Enter Invoice, Sales Receipt, And Deposits | |||
7100 Invoice Selling Inventory | 00:00:00 | ||
7120 Receive Payment Transaction And Form | 00:00:00 | ||
7140 Sales Receipt Payment Received At Point Of Sale | 00:00:00 | ||
7160 Deposits From Undeposited Funds | 00:00:00 | ||
Section 17 - Excel - Month 1 - Enter Transaction For Sale Of Inventory, Receive Payment And Bill | |||
7180 Invoice Created From Check Created From Purchase Order | 00:00:00 | ||
7200 Receive Payment And Make Deposit | 00:00:00 | ||
7220 Write Checks for Expenses And Prepaid Assets | 00:00:00 | ||
7240 Bill Pay | 00:00:00 | ||
Section 18 - QBD - Month 1 - Enter Invoice, Receive Payment, Bill | |||
7180 Invoice Created From Check Created From Purchase Order | 00:00:00 | ||
7200 Receive Payment And Make Deposit | 00:00:00 | ||
7220 Write Checks for Expenses And Prepaid Assets | 00:00:00 | ||
7240 Bill Pay | 00:00:00 | ||
Section 19 - QBD - Month 1 - Create Customer Job, Pay Employees, And Create Sales Receipt For Job | |||
7260 Customer Jobs | 00:00:00 | ||
7280 Pay Employees | 00:00:00 | ||
7282 Change Payroll Item For Payroll Taxes | 00:00:00 | ||
7300 Enter Billable Time And Add To Invoice For Job | 00:00:00 | ||
Section 20 - Excel - Month 1 - Transactions For Payroll And Create Sales Receipt | |||
7280 Pay Employees | 00:00:00 | ||
7281 Pay Employees Part 2 | 00:00:00 | ||
7300 Enter Billable Time And Add To Invoice | 00:00:00 | ||
7301 Enter Billable Expenses To Invoice | 00:00:00 | ||
Section 21 - QBD - Month One Reports | |||
7320 Month One Report | 00:00:00 | ||
Section 22 - Excel - Month 1 - Create Financial Statements | |||
7320 Month One Financial Statements | 00:00:00 | ||
Section 23 - Excel - Month 2 - Enter Loan Transaction, Create Amortization Table And Investment | |||
8005 Format Worksheet For New Month | 00:00:00 | ||
8020 Make Amortization Table | 00:00:00 | ||
8022 Make Loan Payments | 00:00:00 | ||
8040 Short Term Investment Sales And Gains | 00:00:00 | ||
Section 24 - Excel - Month 2 - Sale, Cash Received At Same Time And Bill For Inventory | |||
8120 Sales Receipt Deposit | 00:00:00 | ||
8122 Record Receipt Of Inventory With Bill Linked To PO | 00:00:00 | ||
Section 25 - QBD - Month 2 - Enter Loan Payments , Create Amortization Tables, And Investment | |||
8020 Make Amortization Table | 00:00:00 | ||
8022 Make Loan Payments | 00:00:00 | ||
8040 Short Term Investment Sales And Gains | 00:00:00 | ||
8060 Change Account Categorization To Other Expense | 00:00:00 | ||
Section 26 - QBD - Month 2 - Enter Purchase Order, Sales Receipt, Bill For Inventory | |||
8080 Purchase Order Adding New Items | 00:00:00 | ||
8120 Sales Receipt And Deposit | 00:00:00 | ||
8122 Record Receipt Of Inventory With Bill Linked To P.O. | 00:00:00 | ||
Section 27 - Excel - Month 2 - Invoices For Service Sales And Advanced Customer Deposit | |||
8130 Populate Invoice Using Billable Item That Was Created From P.O. | 00:00:00 | ||
8140 Advanced Customer Payment or Unearned Revenue Method 1 | 00:00:00 | ||
8160 Apply Customer Deposit (Credit) To Invoice | 00:00:00 | ||
8200 Advanced Customer Payment Or Unearned Revenue Method 2 | 00:00:00 | ||
Section 28 - QBD - Month 2- Invoices For Service Sales And Advanced Customer Deposit | |||
8130 Populate Invoice Using Billable Item That Was Created From P.O. | 00:00:00 | ||
8140 Advanced Customer Payment Or Unearned Revenue Method 1 | 00:00:00 | ||
8160 Apply Customer Deposit (Credit) To Invoice | 00:00:00 | ||
8200 Advanced Customer Payment Or Unearned Revenue Method 2 | 00:00:00 | ||
Section 29 - QBD - Month 2 - Invoice From Billable Item, Advanced Customer Deposit | |||
8130 Populate Invoice Using Billable Item That Was Created From P.O. | 00:00:00 | ||
8140 Advanced Customer Payment or Unearned Revenue Method 1 | 00:00:00 | ||
8160 Apply Customer Deposit (Credit) To Invoice | 00:00:00 | ||
8200 Advanced Customer Payment Or Unearned Revenue Method 2 | 00:00:00 | ||
Section 30 - Excel - Month 2 - Transactions For Billable Time | |||
8320 Bill For Hourly Services Of Staff Set Up Items And Enter Billable Time | 00:00:00 | ||
8322 Create Invoices Using Billable Time | 00:00:00 | ||
Section 31 - QBD - Month 2 - Invoicing For Hourly Service | |||
8322 Create Invoices Using Billable Time | 00:00:00 | ||
8320 Bill For Hourly Services Of Staff Set Up Items And Enter Billable Time | 00:00:00 | ||
Section 32 - QBD - Month 2 - Invoicing Rental Income With Advanced Customer Deposit | |||
8340 Rental Income Set Up Items | 00:00:00 | ||
8342 Rental Income Customer Deposit | 00:00:00 | ||
8344 Rental Income Estimate And Invoice | 00:00:00 | ||
Section 33 - Excel - Month 2 - Rental Income Transaction And Advanced Customer Deposit | |||
8342 Rental Income Customer Deposit | 00:00:00 | ||
8344 Rental Income Estimate And Invoice | 00:00:00 | ||
Section 34 - QBD - Month 2 - Purchase And Finance Equipment And Recategorize Fixed Assets | |||
8360 Purchase And Finance Equipment | 00:00:00 | ||
8362 Subaccounts Categories For Fixed Assets | 00:00:00 | ||
Section 35 - Excel - Month 2 - Purchase And Finance Equipment | |||
8360 Purchase And Finance Equipment | 00:00:00 | ||
8362 Subaccounts Categories For Fixed Assets | 00:00:00 | ||
Section 36 - QBD - Month 2 - Enter And Pay Month End Bills And Pay Sales Tax | |||
8365 Bills – Enter, Sort, And Pay | 00:00:00 | ||
8370 Pay Sales Tax | 00:00:00 | ||
Section 37 - Excel - Month 2 - Enter And Pay Month End Bills And Pay Sales Tax | |||
8365 Bills Enter Sort Pay | 00:00:00 | ||
8370 Pay Sales Tax | 00:00:00 | ||
Section 38 - QBD - Month 2 - Enter Payroll And Pay Payroll Tax For Prior Period | |||
8380 Enter Payroll For Second Month | 00:00:00 | ||
8385 Pay Payroll Taxes | 00:00:00 | ||
Section 39 - Excel - Month 2 - Enter Payroll And Pay Payroll Tax For Prior Period | |||
8380 Enter Payroll For Second Month Part 1 | 00:00:00 | ||
8381 Enter Payroll For Second Month Part 2 | 00:00:00 | ||
8385 Pay Payroll Taxes | 00:00:00 | ||
Section 40 - Excel - Month 2 Financial Statements | |||
8420 Create Reports After Second Month Of Data Input YTD | 00:00:00 | ||
8421 Create Reports After Second Month Of Data Month Of February Only | 00:00:00 | ||
Section 41 - QBD - Month 2 - Generate Month End Report And Review Work | |||
8420 Create Reports After Second Month Of Data Input | 00:00:00 |