Adjusting journal entries are changes to journal entries you have already recorded. QuickBooks is a software through which Adjusting Journal Entry becomes so easy that you will not regret making your business digitalized. You can learn how to make adjusting journal entries in QuickBooks in just six steps.
Adjusting Journal Entries is an entry in the company’s journal of accounts at the end of the financial period. To know more about the journal entries in QuickBooks and relatable topics you can visit our website. If in case, you have some more queries related to QuickBooks you can even call us at our toll-free number (855)-526-5749.
Accountants generally use adjusting journal entries to correct minor errors, and to record transactions that have occurred but not recorded.
Keynote (Important to remember)
The five types of adjusting entries: -
Accrued Expenses
Unearned Revenue
Accrued Revenues
Prepaid Expenses
Depreciation
Adjusting journal entries impacts at least one balance sheet account and one income statement account, and it never impacts cash.
Six Simple Steps to create Adjusting Journal Entries
Open your QuickBooks, go to the ‘Toolbar’
Now select your customer’s companies from ‘Go to Client’s QuickBooks’ drop-down list.
You must locate the appropriate account for the transactions.
After that, select journal entry.
Now you must mark the ‘Adjusting Journal Entry?’ checkbox to proceed further.
Create the journal entry
You must now follow the steps of ‘create a journal entry’
Select Journal entry.
Fill out the fields to create your journal entry.
Now select save and close.
After this click on ‘Save and Close’.
Adjusted Trial Balance Report (Review process)
The adjusted trial balance is an internal document that helps you to verify that the total amount of debit balances in the general ledger equals the total amount of credit balances, after posting all the necessary adjusting journal entries.
Go to ‘Reports’
Open Search bar and enter ‘Adjusted Trial Balance’.
Now you can review your ‘Adjusted Trial Balance’.
EndNote
Adjusting journal entries is an important part that QuickBooks provides you, but always remember adjustment entries need to be handled carefully and cautiously.
The above information given to you primarily talks about how to make adjusting journal entries in QuickBooks. For more information, related to QuickBooks we recommend you visit our website. If you have any other queries, you can contact us on our toll-free number (855)-526-5749.
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