I have a client that uses accrual for his business but cash for his tax returns. When we switch the reports from accrual to cash only transactions affecting accounts payable and accounts receivable are removed. We still have prepaid expenses and accrued expenses that need to be adjusted manually to get a true cash financial statement. I have considered moving these accounts to an AR or AP type to fix this, but it definitely looks weird on the balance sheet when this is done. Is there another way that QuickBooks can handle these types of accounts or any changes on the horizon that I may not know about?