Adding a petty cash account in QuickBooks

In order to track petty cash in QuickBooks, we need to add a petty cash account to the chart of accounts.

Follow these steps to add a petty cash account:

1. Navigate to the Accounting section, as shown in the following screenshot:

2. Select the chart of accounts and then click the New button, as shown in the following screenshot:

3. Fill in the new account setup window, as shown in the following screenshot:

The following is a brief explanation of the information you will need to fill in:

• Account Type: From the drop-down menu, select Bank as the account type. All petty cash accounts should be categorized as a bank account.
• Detail Type: From the drop-down menu, select Cash on hand as the detail type. All petty cash accounts should be categorized as cash on hand.
• Name: In this field, you can put Petty Cash as the name of the account and any additional details required.
• Description: If there is additional information...