 QuickBooks Online 2022. New vendors set up and accounts payable beginning balances. Get ready because it's go time with QuickBooks Online 2022. Here we are in our Get Great Guitars practice file that we set up with our 30-day free trial. Holding control down, scrolling up just a bit to get to that one to five percent. We're currently in the home page or the Get Things Done page. We're in the business view as compared to the accounting view. If you wanted to go to the accounting view, what you can do by going to the cog up top, switching to the accounting view, we're going to stay in the business view but toggle back and forth through the sample file which has the accounting view just so we can see where different things are located, the same things located in different places I should say. So now we're going to be entering another beginning balance item. Let's jump on over to our beginning balances, our concept here by the way before we do will be that we're trying to enter all the beginning information in terms of the underlying foundations that we need to enter before we start entering the financial transactions on top of them for the current period that we'll be working on to create the financial statements balance sheet and income statement. The financial transactions typically be an input with the items in the plus button, the invoices, the checks, the bills, the pay bills and so on and so forth. But you first want the foundation input so the input of those data input fields are as easy as possible and we might have some beginning balances from the prior accounting system or some beginning balances that we currently have before having an official accounting system that we need to enter into the system. That is what we are doing now. We've been entering like the more difficult ones first. We've entered the inventory items. We have entered the accounts receivable items. Now we're going to enter the accounts payable items which also has another added issue with it like the accounts receivable in that we not only want to have the balance in there which we could just do with a journal entry if that's what's all we were concerned with but we also need to know who we owe the money to. This represents us owing other people money and we need to know how much we owe each individual so that we can then pay those individuals at some point in the future. Therefore, we have another sub ledger kind of problem that we have to deal with. So it's going to be similar to the receivable issue. Let's go back on over to our reports here. This one will be located. You could think about this. You might say well the first thought an accountant might have if you know debits and credits is to say well I'll just go to the new button up top and I'll enter a journal entry and I'll increase the accounts payable but it might be a little bit difficult to enter the vendors that way and even if you entered the vendor that way it wouldn't have like the bill form that's easily then matched up to the pay bill form so we could just go right forward from our accounting process with that bill in the system. The other thing you might think of is to say to go down to the bookkeeping item on the left which if you were in the accounting view which would be in the accounting tab if you're in the accounting view and then we would go to the chart of accounts and you might go into the accounts payable for example which would it's an order by type so would go down here to the A to the P accounts payable and you might use the register and say I'm just gonna enter something directly into the register here that would be similar to entering a journal entry same problem you want to enter the actual bill so what we're gonna do instead is open up the hamburger and we're gonna go into the pay the get paid but now we're focused on the pay side of the get paid and pay that they kind of crammed into one area here and we're on the vendors down below if you were in the accounting view it would look like this you would be in the expenses tab and then we would be in the vendors area on the expenses tab so going back on over so we're in the vendors area and we're gonna add some vendors now you could you could do this in a similar fashion you can add basically one at a time or you could you can import vendors in the similar fashion as we seen now because we've done this importing thing in the past where we're just gonna add one vendor but if you were to import it it would look similar similar process as we did with the customers and you can you could set up your file similar process as we did with the items but we're just gonna add the one singular item as we do this it will also be similar to the customers as well in terms of the simply the data input form because it's going to be the contact information and so on related to the vendor so if we tap through this thing then we're gonna tab on through it and say we don't have a title we're gonna say the first name I'm gonna say the company let's do the company first which is gonna be epiphone epiphone that's who we buy our guitars from and let's see if I spelled that so that I fixed it I think it's right now so we'll put the contact information up top which I'm gonna say Sam tab tab and I'm gonna say Rand Sam Rand something like that we're gonna say the company is gonna be also epiphone and display I'm gonna display the company name and not not the Sam name up top print as check as I want to print the check as the display name which is gonna be a hell the check will be populated if you had an address that you needed down here you can put the address I'll put the 80's Cynthia Street I'm not sure that's exactly right but I'm gonna keep it with the practice problem Beverly Hills California so I need a lowercase I here on the hills and the zip code is gonna be 90210 United States and then we're gonna have notes no notes no attachments the email address you could have I'm gonna call it Sam at let's say it was epiphone dot com Sam at epiphone dot com phone number 5 5 5 4 6 7 5 2 1 2 4 mobile no tab tab other other tab website tab billing rate no terms let's set the terms at this is going to be we'll set net 30 on the terms opening balance now here's the key for us to enter this beginning balance you're not going to use this most likely any time other than we when you enter the first this first vendor in place so I'm gonna say that opening balance is going to be that full 15,000 that we had over here so we only have the one person we owe so I'm gonna say the full 15,000 is what we owe this vendor for and then we'll say that once again is as of the December 31st the last day of the prior period so the cutoff date that we're gonna start at January 1st 2022 will should roll over and everything should be good now what's it gonna do when I record that it's a vendor so it's probably gonna record a mock bill which means it's probably gonna record the other side to an expense which would cause a problem if it was in the current period but it's not it's in the prior period therefore that expense will roll into equity and everything will work the way it's supposed to do we need to track a 1099 for them I'm gonna say no and so I'm gonna say let's do it let's say save it and that this phone number this is a wrong email all right look what if I said Sam at gmail.com that one probably exists so we'll save that and so there we have it that's not a real email so don't email Sam or anything or get a mad at us like as if I don't know who that is someone's email probably but in any case then we're gonna say that should that should have recorded a balance for us so let's open up our financials right click it on the tab up top duplicate go back up top right click again and duplicate ultra vase another time and then we're gonna go into the reports which are gonna be up top in the business view if you were in the accounting view by the way the reports would be located in the reports which is kind of more clear seems like but in any case we'll stick with the business view here gonna open up the balance sheet balance sheet and then I'm gonna go up top and we're gonna ranging the changing from 0101212 123121 and run it closing the hamburger holding control scrolling up just a bit and so now we've got accounts payable on the books at 15,000 just what we wanted that's exactly what we wanted to happen and it happened making us the happiest people in the world and then if I go into it if I click on it and go into it notice it put it in there with a bill form so if I go into it again drilling down to the source document it put it in there with a bill form it just made a bill form out of nowhere without a with a vendor name of the epiphone and it just put the other side into miscellaneous expense it's like whatever we'll just put the other side in the miscellaneous expense so that means it went to the income statement let's close it back out and check it out scrolling up go on back then back get on back to there and so the other side is on the income statement there it is it's included in that 5 5 so let's go is that gonna cause us the problem I don't think so but let's see why let's go back to the second tab where we're going to open the income statement the income statement I've got a statement to make about income I'm going to call it the profit and loss the P in the L here it is closing the hamburger and then range in the changing 0 1 0 1 2 1 2 12 31 2 1 and run it again so now we've got 20,500 from the prior thing the receivable and then it just made this bill and dumped it into other miscellaneous expense if I go into it there's the bill and there it is so there's the bill so if I go back is that a problem because no I don't want anything in my income statement but this is as of before my cutoff date so as of the cutoff date when we're starting the news file which is January 1st 2022 this will all roll into equity will not be a problem if you want to look up anything prior to the cutoff date January 1st 2022 you should be looking at the prior accounting system whatever that was therefore I'm not worried about any junk prior to this as long as my cutoff numbers are okay and if I scroll up and change this to the current period which where I want where I'm concerned with the information in this file then I can change the date and just check it 010122 to 1231 2 2 2's and the 2000 double deuce has nothing in it for the 2000 double deuce year and that's good because we don't want anything as of that year so what about the balance sheet if I go back to the balance sheet we have net income as of the end of 2021 if I go to the next day it'll all roll into retained earnings where it should be as of when we want to be working on stuff so 010122 to to let's say 010120222 let's just say 22 and then okay now I mess 010122 and then run it and scrolling down now it rolled into equity everything looks perfect the opening balance is still ugly but we're gonna fix that at the end just making a journal entry taking everything out of whatever miscellaneous equity account they put it into and put it into the proper account which for us will just simply be retained earnings at that time so we've got the 15,000 on the books we've got we've got the balance sheet working out everything else is washing out to equity as is the plan and so everything is going according to plan and the plan has come together which I love I love it when the plan comes together