 QuickBooks Online 2022. Enter purchase orders or PO's. Get ready because it's go time with QuickBooks Online 2022. Here we are in the Get Great Guitars practice file. We set up with a 30-day free trial holding down control, scrolling up just a bit to get to that one to five percent. We're currently in the home page, otherwise known as the Get Things Done page. In the business view, as opposed to the accounting view, if you wanted to go to the accounting view, it's something you can do by going to the cog up top and switching to the accounting view. We will be toggling back and forth either here or jumping over to the sample company which is in the accounting view to get a look at the locations of items in the two views. Let's start out by opening a few tabs up top by right-clicking on the tab up top and duplicate that tab. I'm going to go back to the tab to the left, right-click on it again, duplicate it again. We're going to be looking at some reports. Let's jump over as it is thinking to the other file just so we can see that where the reports are located in the accounting view, which would be down below in the reports area. If we're in the business view on the second tab now, we would be in the business overview area and to the reports. I'm going to close up the hamburger. Let's open up the balance sheet report and do a range change up top from 010122 to 123122. It's hard for me to remember the 2022. I'm going to save. I'm going to run that. I'm going to run that and then I'm going to go to the tab to the right and open up the trustee trial balance by going to the business overview again and just typing in this time to the trial balance, the trustee TB, not tuberculosis, but the trial balance. That's what it stands for. Then we're going to go back up top and change the range here from 010122 to 123122 and run that report. Let's go back to the balance sheet, hold down control, scroll up just a bit in prior presentations. We imagine starting up a new kind of business entering the beginning balances. Then we got some capital. We got capital by the owner putting money into the business to start out the business and taking out a loan. We now have some cash. We put some of that cash then into a short term investment just to hold onto it. Some of that cash into the equipment and furniture that we're going to use in order to generate revenue in the future. Now we're going to take some of that cash, some of that capital, put it into the other thing that is commonly invested in with a new company of the capital that being inventory. But first, we're going to send the purchase order out for the purchase of the inventory. So note that the purchase order doesn't actually have an impact on the financial statement. It's like one of the normal kind of forms that doesn't have an impact on the financial statements. Let's just review why by going to the first tab over here. I'm going to hold control, scroll down to that 125%, hit the plus button and we're in the vendor area to purchase inventory. We're looking at the purchase order. The purchase order is different than if like we were an individual person purchasing something from say Amazon or some online retailer because when we purchase something, we typically have to pay for it at the point in time. We purchase it as opposed to a lot of times larger types of businesses who have a little bit more ability to have a purchase order and not pay for it at the point in time. They order it and receive the inventory, then pay for it at the point in time. They receive the inventory. In that instance, the purchase order doesn't actually have anything related to it with regards to a financial transaction, although it is something we still want to track because we want to then tie it out to what we expect to be receiving in the future from the vendor. In our case, that being inventory of guitars. So let's enter a purchase order. And we're going to say this is our standard purchase order. We're going to say it's an open purchase order. We're going to be purchasing this from the let's say epiphone. It's one of our vendors we already have so we can go down to it here. We could just start typing in if we want epiphone. This is who we buy some of our guitars from. And so there we have it. It's populating because we have this vendor set up already. We're going to say the date of this thing. I'm going to bring it bring it on back. Bring it on back. Jojo to number 12 to the 12th here. And then we're in the shipping document. So we're going to go down below. We're in the items tab as opposed to the category tab because we're going to be purchasing inventory items and we're just going to list out some guitars. We're going to imagine we're purchasing from epiphone including an ELP. So ELP is one of our standard kind of guitars. We're going to purchase a bunch of them. So we'll have some of those on hand if you want to take a look at some of them drop on by to the shop and we'll check them out. And then we could add a customer over here but we're not dealing with the customers yet at this point in time. Why would you put a customer into a purchase order when you're dealing with a vendor purchasing the guitars possibly because you want to tie out the purchase of the guitars for a particular customer possibly a custom guitar that you can then apply out to the customer in a future point when we get the the actual guitars and then make an invoice for for that purchase that has taken place. The next one we're going to say is an ERP that we set up. These are going to be items that we set up EPR and that's going to be an Epiphone Riviera. We're going to say we're going to buy five of those at four hundred and forty. Notice that these rates are being populated from the items that we set up and these are the cost not the sales price. So the sales price is going to be higher than this. This is the cost that we're expecting from the vendor. So the next one we're going to say is an is an EPSH which is going to be an Epiphone semi hollow body. We want four of those at three twenty. That's going to be one thousand two hundred and eighty that we expect to be purchasing and then lastly we're going to have some EPSTs which are the Epiphone Standard Body Pros. We got we want five of those at four eighty that gets us up to the two thousand four hundred for a total of thirteen thousand eight eighty. Now this looks like it you would think there would be some impact on the financial statements the balance sheet and the income statement that is given the fact you have a dollar amount this looks kind of like an invoice or something like that or a bill or or an expense form but no this is something that's not going to go on there because it's just a request and if the request is granted it sounds like it's not a request it's a purchase order this isn't a request what do you know it's a it's still kind of you know they could turn it down even though we're ordering we're ordering so if they send it if they send us stuff that's when we record it when we enter the bill so this will tie out to the bill let's save it and close it and check out where we can track this stuff note that the purchase orders won't have an impact on the financial statements but we can track them and do want to track them in the business view we can go to the get paid and pay area to do so and this is another area where it looks like they're a little bit more limited to me so between the views on the business view and the accounting view so we can go down here into the pay area which is in essence the vendor section if you were in the accounting view you would be in the expenses area and notice here you've got two tabs the expenses and vendors and for some reason at this point they only have the one tab down here you would expect them here they would have kind of like the expenses tab under here but they don't which is a bit limited so I'll toggle back and forth between the accounting and the business view just to show you what I mean but if I then go into for example etlophone we can this is one way you can see the open purchase order here you can also run a report for the open purchase orders as well let's open up the hamburger again and let's toggle that back to the to the switch to the accounting view just so we can see the difference in the views for this particular transaction in this what I would call the vendor center area so now we're in the expenses area same kind of area here but now you've got your breakout with the tabs up top so here's the same area we were in with the vendors up top but then you got this expenses tab which is nice because then you can sort it by normal transaction types that are in the expense cycle so I can filter up top for example by the by the purchase orders that I would like to see and I might want to see just the open purchase orders which is the only one we have right now and apply that out and there is our open purchase order so that to me seems quite useful in the accounting view I'm going to open this back up again let's switch it back on over to the business view and take a look at another one okay so I'm back in the business view now they do have this field you can see they have this field here so they just moved it into a different location so that's just that might be better or worse it's a matter of your preference on where you would want that location so remember in the accounting view just to take a look at that change it was under the expenses area you got the vendor and the expenses tab which would be what I would call like in kind of like the vendor center showing that information in that one area that's the grouping they're showing here and then in the other grouping they put it down here in the bookkeeping area so when you're when you're going to the paid and get paid area you're really looking at the information related to the vendors here and the customers and then they put some of the transaction detail into what they're calling the bookkeeping tab which now has the transaction items up top so within the transaction items that's when you've got the sales transactions up top with this tab and the expenses transactions which before were in were kind of related to the get paid and paid area so those are still located here and it might you might prefer that change so that goes to my original theory that they should basically have all the same kind of data input fields but change the name and kind of the location to a b test where they want it and not restrict basically types of things on the way you're going to enter it although they might enter some things some processes and more of an interview type format in this view because I think they're trying to kind of guide you in some ways in that way which is why I kind of trust the accounting view more still but okay in any case let's go up to the plus item up top again and let's go down to another one we're going to make another purchase order and do this again ultra vase and this one I'm going to make a new vendor just on the fly as they say I'm flying and I'm doing it at the same time it's on the fly as I'm on my plane I don't know why they say that Gibson USA it's like when you're on the plane maybe as a business person setting up that one this is our new vendor as we go it's going to be a purchase order so I would think it would default to a vendor here we want it to be a vendor and then I'm going to save that I'm not going to put an email but we would of course need an email if we wanted to give it to the customer in that format and then I'm just going to have the bare minimum of the information for this vendor to populate it but clearly if it's someone we're doing business a lot with we would want to put the the information for the address and so on we've got the shipping address where we want them to get it to us in our in our 90210 Beverly Hills location and 112-22 happens to be today we'll keep it there and then we're going to go down and actually no it's not 112-22 do I want that date yeah let's keep that date and then we're going to say the item details down below we're going to say that this one's going to be a G-I-U-S-A which we set up already so we we're going to buy how many of those three of those items so that's in Gibson USA 304 is what they got from the item that means it's going to be 912 dollars and so we're going to purchase that again no transaction related to this it's just a request this time instead of saving and closing it I'm going to say save and new and enter one or a couple more so this one I'm going to say this one's a new a new vendor again which is I'm going to say diamond head diamond head I'm just going to call it diamond head I'm not sure if this is an actual vendor of ukulele is what we're buying now and it's going to be a vendor be careful that it should be a vendor here I would think that would pop up as the default but we want to make sure that we're purchasing from these people that should be a vendor typically and so email address I'm not populated it because I'm going to do the bare minimum just to go through the practice problem but if you were to email it or wanting to send it to him in that way that would be important shipping address down below we're going to then use the item and this is going to be our ukulele which we put in as a duk the duck diamond head ukulele we're going to say that we're buying three of those items for 72 dollars so next time we're going to add the customer field and we're going to try to track the customer information as we go through the purchase process so that when we get the inventory we can turn around and sell it so I'm going to say save and new again save and new so next one we're going to say this is going to be another epiphone so this is epiphone that we're going to purchase from and we're going to we're going to enter that detail so that populates for us and this one the only change is going to be so notice it's populating the the prior transaction that we had so it's kind of trying to give us a recommendation of the prior transaction that's due to the settings that we set up but I'm going to put in a whole new transaction here so I'm going to delete the activity here I'm going to say remove that and this time I want an ELP so ELP and so we're going to say that I want to take let's say 50 of those and we're going to assume that a particular customer ordered these ELPs now and we're going to put in the new customer as we go so I'm going to actually type in Eric music in the customer field adding the customer sitting tab to do so and there is the name it's a new customer so I'm going to save that with the bare minimum of the name to put that in place so this customer name doesn't do anything for the purchase order the vendor doesn't care about the fact that we're purchasing this custom for a particular custom that asked us for these guitars but we want to be able to kind of look at that and track that within our system so that when we get the guitars we can turn around and sell them creating an invoice with this information we're also going to say and note you can add another line item EPSH another epiphone item and I'm going to put 10 of these at 320 notice it's possible to have one purchase order with different customers possibly down here so you could you could do that and it would tighten you can track this information as long as it's going to the same vendor because again the vendor doesn't care about who the customer is we want to track this information internally so that when we get these guitars we can turn around and create the sales document typically the invoice but I'm going to use the same customer which is going to be Eric music again so there it is again that gives us a total of the 23 200 at this point and we're going to do another one so let's say save and new again now this time we're going to set up a new a new actual item as we go so this one's going to be at Gibson USA tab tab so we have Gibson in there already but we haven't ordered and I'm and notice it's trying to populate the prior order I had so again I'm going to delete that and say no I want a different a different one here and this is going to be I'm going to call it a GSB we don't have that yet so I'm going to say tab I'm going to add the item as we go so if I select tab uh on the GSB it's going to pull up the item I want to make it an inventory item this should look familiar from our items tab now we're just putting this in place as we do the data input so it's going to be a gsp I'm not going to have an sku number not going to have a category no quantity on hand yet you're profitably not going to be using these anymore after the beginning balances because you're going to be purchasing the items when you're buying the item and then the inventory account is going to be inventory asset we're going to say the description is going to be a Gibson sg I'm going to call it that's what it's going to populate on the sales description and then we'll populate the purchase description with the same thing we're going to sell it for $5.98 and it's going to be going to the sale of product income it's going to be subject to tax so I'm going to keep that let's take a look at that this this tax thing's been a bit finicky I'm going to try to go down to the bottom and just say that it's going to be it's going to be taxable I want to use the standard rate I might choose a retail item taxable retail item to make it taxable and so so that one's been a little bit a little bit finicky but hopefully they'll get that nailed down it's nice that they have that detail on it in any case we'll go down here Gibson and then this is going to be the cost I'm going to say the cost let's switch this up the sales price is actually going to be I'm going to change the sales price to 777 and the cost is going to be the 598 so this is what we buy them for it's going to go to cost to get sold when we sell it and we're in for that amount and then we're going to have a revenue when we make an invoice of the 777 and at this point we're purchasing it so this will be populated with the 598 preferred vendor we can put down here would be Gibson Gibson USA and then save it so then it wants our quantity on hand I'm going to say there's zero on hand as of this point in time let's say the beginning of the year and then save it so I'm going to say that the quantity will be 10 on the quantity and then I'm going to put a new customer again imagine we ordered this specifically for a customer request which I'm going to add a new customer music stuff store which is a really horrible name can't you be more but no that's our customer that's their name it's not my fault that's what they named themselves so music stuff store and there we have it and so that that's at the 5,980 so that looks good and so let's finally save and close this one save it and close it saving it and closing it so now we've got all this information which we could be tracking in what I would call the vendor center or the pay center the get paid pay area in the business view which remember if you were in the other view the accounting view would in essence be in the expenses area and then you'd have the two tabs in this view and our view in the business view you basically have the vendor tab in this area right in the business in this view you in essence have then just the vendor tab and then you can look at this by vendor so now we've got diamond head here no activity in it but I know if I go into that activity there's the purchase order and then if I go back up and I want I'm going to do it by hitting this little icon up top I could then go to Gibson and then there's our purchase orders there I can I can go to Epiphone and there's our purchase orders now if I want to sort by purchase order again in the accounting view you would just go on over to the expenses area and you can sort then and filter by the purchase orders and the business view they have now moved that which maybe you may prefer this that you may you may like it better I don't know I'm not used to it yet but they didn't remove it which I originally thought they did and I apologize for that because they didn't take it away you could still do it and so it's under the transactions area up top in the bookkeeping tab in the transactions and then you've got your tabs with the normal sales forms and the normal expense forms I'm going to close up the hamburger you can then search and filter for example for the purchase orders most likely for the open purchase orders and then apply that out there's our purchase orders and then we have the option of sending sending them out here so in future present or we can copy them to a bill right in a future presentation we'll basically say that we're going to receive them and at that point in time we enter a bill or possibly pay at that point with a check or expense type form so we'll see that next time no impact by the way on the financial statements that's why we're not taking a look at them