Vendor who is also a customer

Hi there, @sffdib. 

Thank you for choosing QuickBooks as your accounting tools. The easiest way to process an account is to set up a Barter or Wash Account. 

Here's how to set up a clearing account: 

1. Tap the Lists menu, select Chart of Accounts.
2. Right click, then hit New.
3. In the Add New Account window, click the Bank radio button.  

Note: While you can choose from several types of accounts, the best is a bank account because of the following reasons:

• You can pay into a bank account via Receive Payments or Make Deposits.
• You can pay out of a bank account via Write Checks or Pay Bills.
• A bank account appears on the balance sheet and on the statement of cash flows to balances and changes in balances.
• To allocate expenses to overhead or class using a zero check, you must use a bank account as your Clearing account.

        4. Tap Continue.

        5. In the Account Name field, enter Clearing Account, Barter Account or Wash Account.

        6. Do NOT enter an opening balance.

        7. Press Save & Close.

Now that your clearing account has been created, here's how to use it. 

To use a clearing account

1. Create a journal entry.
2. Add the AR or AP from which you are moving money.
3. Add the Clearing account.
4. Save the Journal Entry.
5. Create a second Journal Entry.
6. Add the Clearing Account.
7. Add the AR or AP account to which you moving money.
8. In either Pay Bills or Receive Payments, link the Journal Entries together. 

By following the steps listed above, you should be able to create and use a clearing account in QuickBooks. Just remember to use a $0.00 opening balance. 

You can refer to this article for more details steps about creating Clearing Account: Set up a clearing account. 

Let me know if you have any other questions. I'll be happy to help you some more. Have a good day!