 So we got the checking accounts. Those are going to be having a special need because they possibly have the capacity to connect to the banks. That's why they have their own kind of space up top and aren't just other current assets. You've got your accounts receivable, which oftentimes is required to be there. You might not be able to delete it or possibly even make it inactive because QuickBooks wants an account that ties to the subledger if you're going to have receivables. That's why it has its own account type. And then everything else that's basically in other current assets that doesn't have a special need is then within here, you've got your inventory assets. Now note that when you set up your chart of accounts with QuickBooks online, they usually give you this huge chart of accounts, which might include things you don't need. And you might want to go through there and basically remove them. We'll talk more about that in the second half of the course and with the bank feeds or in other courses of bank feeds. And when we set up a new account, but if you don't have inventory, maybe you can remove the inventory asset prepaid expenses is another one that's in a cruel account. If you're on a cash based system, maybe you don't want it there, or maybe you want a more specific prepayment such as prepaid insurance or something like that, in which case you can change the name or remove it. You've got the uncategorized assets. Anytime it says uncategorized, that's usually what QuickBooks uses to default to a transaction when it needs to make the double entry accounting system in balance, but it doesn't know where to put it. Therefore, anytime you see something in uncategorized assets or uncategorized expenses or uncategorized revenue or sales, it's an indication that you need to go in there and fix it, categorize it. And then you've got your undeposited funds. That's a holding account that is going to be in place so that you can then group your cash into the checking account in the format that makes most sense. Then you've got your fixed assets, which include depreciable assets, the fixed assets and the depreciation accounts. Now these, when you first set up QuickBooks online, they often give you a whole bunch of these accounts and you want to be careful about them because usually you're going to have to track depreciation related to them and you've got to do it at least on a tax-based system. Oftentimes you're going to use tax software to do that or get help from your accounting firm to provide the reports. So you might want to adjust your assets, your fixed assets, to line up to the same grouping as your tax software. So that's something I would recommend setting up and understanding before you start using those accounts with your accountant. Account Payable has another special need, which is to track the payables by a vendor. That's why it has its own account category. The credit cards have their own account category because you can connect them to the bank feeds. Therefore, they have their own type. And then we've got the other current liabilities, all other accounts that don't have a special category. This account represents sales tax. So those would be set up as you set up your sales tax information into the system. Loan payable, other current liabilities here and then would be like a note, for example, current portion and then the long-term portion, notes payable, long-term, typically notes that are going to be due after a year. And then you've got the equity section, which is often confusing when you first set up the QuickBooks system. Because again, I think QuickBooks Online gives you like a whole lot of stuff in the equity section because, like I say, they don't really customize as you do the data input towards what you put on the data input, like industry and by what kind of business you're in. They just give you a whole bunch of equity accounts that you could use then. So you want to pick the ones that are applicable and then possibly make inactive or delete the ones that aren't applicable. So for example, equity represents the owner's claim in essence to the assets of the business as opposed to the third-party liability claims. But it'll differ in terms of the names by what kind of business you're in. So first of all, you got opening balance equity, which will be there no matter what kind of business you're in. But it's not something that you really want to be reporting on. It's just there as a holding account or an account to make or allow QuickBooks to be in balance when it needs to put in like the opening balances. So we'll talk more about that when we do the first setup of a company file. It's kind of a balancing account. And then you got the retained earnings. Retained earnings is only a term that you would use if it were a corporation, so if in general. So if it was a sole proprietorship, we would call that kind of account the owner's equity account or a capital account. If it was a partnership, you can have multiple kind of capital accounts. So this retained earnings account, whatever you call it, it's special because and you can tell that because it's a balance sheet account that doesn't have a register. That's how you kind of know that this is the account that the system is closing out into the closing entries will be done automatically into this account. So you might want to change the name of it, but to whatever would be appropriate for that account to be closed out into. If it was a corporation retained earnings would be appropriate. If it was a sole proprietorship, you might want to change it to owner's equity because it would just be one person owning the company file. If it's a partnership, it gets a little bit more confusing because now you've got multiple partners and you have to manage the capital accounts in accordance with the partnership agreement. So you might have one account that it rules into and then you got to allocate it to the partnership accounts in accordance with partnership agreement, which is kind of annoying, but it's a partnership. So and then you could have a draws in here and you might have dividends and whatnot. So again, it'll differ depending on the industry. We'll talk more about that when we get to the balance sheet. Then you've got your income statement accounts. Usually you don't have a lot of income type statement accounts. This is your income account revenue account. Another term that you might call it because usually do one or two things. We have a lot of expense accounts, less income accounts, but because this is a job cost system, they have a lot of them. Notice down here, this represents that it's a sub account, which means that when I go to the income statement, that's where you've got this little sub arrow down here, which doesn't represent a financial category or a QuickBooks separate account type, but rather a sub account. So that's how you create those sub accounts. So if I scroll all the way down, what happened? I was in here, if I go into this one and edit it, you can see it's a sub account. That's how you create those other sub accounts. Now note that the QuickBooks general chart of accounts tends to kind of like having a lot of sub accounts. And it's kind of up to you as to whether many people really like having a lot of sub accounts and many people don't like having a lot of sub accounts. And so you're going to have to go in through there and customize it. Your cost of goods sold is going to be there in its own category. If you sell inventory, that's when you would use it. Otherwise, you might not need it. And then your expenses.