PC.5.I.5 - Recording undeposited funds
- 12 steps
ProAdvisor Challenge
This exercise is a ProAdvisor Challenge provided by Intuit. To find the original, log in to your QuickBooks Online Accountant (QBOA) account, then follow this path:
- In the left navigation bar, hover over ProAdvisor, then click **Training**.
- Click the **Training Library** tab.
- Click **QuickBooks Online** to expand (it may already be expanded).
- Click on the **Banking** tile.
- Click **Intermediate Skills** to expand, if necessary.
- Click on the **5. Recording undeposited funds** section.
The exercise can be found towards the bottom of the page, under ProAdvisor Challenge.
*Note: You may need to answer the Knowledge Check before having access to the ProAdvisor Challenge section.*
The Sample Company
1
To complete this exercise, you must be in the Sample company. To get into it, click on the Gear icon on the top right corner of the screen, then select Sample company.
Note that you will be logged out of your current account. If you are sure, click "Continue" to confirm.
Hands On Practice
Now let's get started with the exercise. As a reminder, here is the scenario:
Craig has received checks from two customers for outstanding invoices. He doesn’t have time to take them to the bank yet and he asked you to record the received payments to Undeposited Funds (or Payments to deposit) in his QuickBooks Online file.
- The first payment is for Kookies by Kathy, the invoice is 1016 and the amount is $75.00
- The second payment is for Jeff’s Jalopies, the invoice is 1022 and the amount is $81.00
First, let's record the payment from Kookies by Kathy.
2
Click the "+New" button, then select "Receive payment".
3
In the Customer field, select "Kookies by Kathy".
Leave the Payment date as is, which defaults to today.
In a real life scenario, you would want to make sure this date matches the day the payment was received.
4
In the Payment method field, select "Check".
5
In the Reference no. field, type "1234". *This is the check number.*
Confirm the Deposit to field says Undeposited Funds. This is the holding account that is used to show a payment has been received but not physically made its way to the bank yet.
6
Click the "checkbox" next to Invoice #1016 to apply the payment to the invoice.
When clicking the checkbox, QBO automatically assumes the Payment field should match the Open Balance. Since Kathy paid in full, we can leave this as is.
Now that we have recorded the payment from Kathy, let's record the payment received from Jeff. Rather than saving and closing, we can open up a new Receive Payment transaction from here.
7
Click the "down arrow" next to Save and close, then select "Save and new".
8
In the Customer field, select "Jeff's Jalopies".
Once again, you can leave the Payment date as is, which defaults to today.
Remember, though, in a real life scenario, you would want to make sure this date matches the day the payment was received.
