QuickBooks does not have a seamless subrountine to transfer costs from construction in process control accout to the profit in loss statement’s cost of construction section. Therefore, the accountant has to export data to a spreadsheet and then sum the respective functional costs of materials, subcontractors, labor, land etc. and then make a general journal entry to complete the transfer. This article explains this process in detail.
Class Accounting in Construction
Class accounting is a form of cost accounting whereby the different types of income are identified and then grouped for revenues and direct costs associated with those revenues. It is a very effective form of accounting in construction, manufacturing, service and retail.