QuickBooks for Mac 2014 User’s Guide 45
• Fixed asset—Long-term notes receivable and depreciable assets your company owns that aren't likely to be
converted into cash within a year, such as equipment or furniture.
• Accounts payable (A/P)—Your company's outstanding bills, bill payments, and any credit you have with
vendors.
• Credit card—Credit card purchases, bills, and payments.
• Current liability—Liabilities that are scheduled to be paid within one year, such as sales tax, accrued or
deferred salaries, and short-term loans.
• Long-term liability—Liabilities such as loans or mortgages scheduled to be paid over periods longer than one
year.
• Equity—Owner's equity, including capital investment, drawings, and retained earnings.
Income and expense accounts
Income and expense accounts track the sources of your income and the purpose of each expense. When you
record transactions in one of your balance sheet accounts, you usually assign the amount of the transaction to one
or more income or expense accounts. For example, not only do you record that you took money out of your
checking account, but you keep track of what you spent the money on: utilities, office supplies, etc.
To display a balance for income and expense accounts, choose Reports > Company & Financial > Profit & Loss, or
select the income or expense account in the chart of accounts and then choose QuickReport from the Action pop-
up menu ( ).
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