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QuickBooks Online Question:
On the Chart of Accounts, why are the category and detail type selections important? To explain the category and detail types, use 3 accounts – one asset, one liability, and one expense account. Identify the Category Type, Detail Type, Name, Number and financial statement.
Here are some examples of accounts the textbook shows:
Detail Type Name Prepaid Expenses Prepaid Rent Number 123 Category Type Other Current Assets Other Current Liabilities Loan P
Detail Type Name Prepaid Expenses Prepaid Rent Number 123 Category Type Other Current Assets Other Current Liabilities Loan Payable Loan Payable 205 Income 403 Service/Fee Income Professional Fees *Name Number Category Type Other Current *Detail Type Other Current Assets Uncategorized Asset 133 Assets Income Uncategorized Income 455 Service/Fee Income (Yes to changing the detail type.) Travel Expenses 604 Expenses Conventions Uncategorized Expense Other Miscellaneous Service Cost 701
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