Recently I posted “How to Audit Your Invoices in BillQuick Online” in response to a question that came out of our BillQuick Users group on Facebook. Then one user, Tina, commented explaining how she got to the bottom of her issue. She was trying to find out the source of the transactions that were showing up in one particular account on her profit and loss. In short Tina was trying to audit an account on her profit and loss statement in BillQuick Online.
When a CPA firm audits a company’s set of books, they are verifying the accuracy of the information reported on those financial statements. The first step in auditing anything is getting the details of what’s inside. Then you verify the existence of those transactions by testing samples and confirming that the expenses are real.
When you audit your own company, you just need a way to know that the numbers make sense. This starts with getting the same details of the income and expenses that an outside auditor needs. You know your business and you know when something doesn’t make sense.
It could be a question of accuracy, existence, occurrence, completeness, or valuation. It could be some, or all of the above.
Now the trick is how to get into the details. In QuickBooks it’s simple. Just double click the number from the P&L and you get the details. Since BillQuick uses a different kind of platform to generate reports, the process is a little different.
First you run the P&L so you can use that as your checklist.
Then you run a transaction detail report filtered for the account ID that you want the details for. You’ll find that account ID on the P&L.
Watch the video above on how to audit the profit and loss statement in BillQuick Online to see how this works.