5 Things You Should Know About the Chart of Accounts in QuickBooks Online
QuickBooks Online doesn’t require deep knowledge of accounting principles. Still, there are concepts you should understand.
What is it?
Why is the Chart of Accounts important?
- Prepare taxes. Your income tax return will not reflect your reportable income and deductible expenses if transactions are not assigned to the right classifications.
- Apply for financing, take on an investor, sell your company, etc.
- Monitor your finances. You won’t get a true picture of your income and expenses, which makes it difficult to analyze your company’s fiscal health and plan for the future.