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
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.