Cash vs. Accrual Setting

Hello there, @globetreader569.

@Anonymous is correct! In QuickBooks Desktop, there are two ways of accounting method, accrual and cash. The data displayed on your reports depends on the preferences you've set in the system and the data you've recorded.

Here's how to review your account's preferences:

1. Go to Edit.
2. Choose Preferences.
3. Select Reports and Graphs.
4. Under Company Preferences, select any accounting method you want in viewing your reports.
5. Click OK.

That's it! For additional insights, you may also check out the article about the 5 different account receivable workflows to ensure your transactions are recorded and applied properly. 

Stay in touch if you have other questions about managing your transactions and reports in your QuickBooks account. I'm always here to help.

If open invoices won't show up under "cash" wouldn't the cash summary be less than the "accrual" summary?  

Thanks for joining the thread, @SeanPe.

Let me share with you the difference between Cash and Accrual basis of accounting in QuickBooks Desktop.

When you choose Cash basis, the report shows the income or expenses based on the payment date of your invoices and bills. While the Accrual basis shows the income and expenses based on when you sent your invoices or got your bills.

Also, there are several reasons why the cash vs accrual summary has a difference:

• Invoices are paid and deposited to Undeposited Funds
• Some payments were not applied to invoices properly
• Manual deposits
• Missing purchase transaction
• Number of paid invoice vs opened invoice varies

This way, you can check and run reports to see the difference.

I've added this article to learn more about the difference between cash and accruals: Differentiate Cash and Accrual basis.

As always, you can visit our Help Articles page for QuickBooks Desktop if in case you need to learn some "How do I" steps.

Don't hesitate to drop a comment below if you have other questions. I'm more than happy to help. Take care!