Cash Or Accrual Basis
I have an LLC for rental properties, and an S-Corp for buying land, building, and selling homes. In Quickbooks I need to choose between cash basis of accounting or accrual basis for each of the two entities. Any advice on which accounting method to use. Kevin
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Consult your CPA. You may not have any choice in the matter.
I use Quickbooks, too! I use the accrual basis because I use the invoicing process that is available thought the software... I like the reports, and if you go by cash basis they won't include the invoiced accounts receivable in the reports. I don't know why but my CPA pointed that out to me!
Good Luck!
[addsig]
My CPA recommended cash basis. It's easier to account for losses and late rent that way.