6.0-1 Handling Petty Cash in QuickBooks

[sunrisegazing]

Thanks so much for this lesson, so so easy to understand.

[lexilex18]

question: if you received cash from a customer for an invoice and you used this cash for business expenses how would you record this type of transaction? thank you for your tutorials! so easy to understand.

[triculito]

@lexilex18 why would you use money from an invoice? that is why you have the petty cash account.

[lexilex18]

@triculito well we did not make the deposit to the bank but instead used the cash for expenses. does this make sense?

[RJSpeaks]

@lexilex18 I think you would

1. Credit Sales/ debtors & Debit Cash account

2. Credit Cash & Debit the appropriate expense account.