Hello, lkoups.
I'd like to share some details about the accounting methods in reports. Depending on the method you pick, the figures will not be the same.
When you run the Profit and Loss report using the cash basis, it will display the following:
- Your report counts income or expenses as though they happened when you got the payment or paid the bill
- A cash basis report only shows income if you have received cash and expenses if you have paid cash.
- If you sent an invoice or got a bill but the money hasn’t changed hands yet, your report doesn’t include it in your income or expenses
For Accrual basis:
- Your report counts income and expenses as if they happened when you sent the invoice or got the bill
- The report includes income and expenses even if the money hasn’t changed hands yet.
You can read this article for reference: Choose between cash and accrual accounting methods in reports.
Please let me know if you have any additional questions or other concerns. I'm here to answer them. Thanks.