Only the QuickBooks Administrator can do this task.
To do this task
Open the accounting preferences.
Click the Company Preferences tab and change the following preferences, as needed:
Use account numbers
Gives you the ability to assign numbers to your accounts. When this
preference is in effect, a Number field appears in the New Account and Edit
Account windows. QuickBooks includes your account numbers in the chart of
accounts, in all Account fields, and on reports and graphs.
Show lowest subaccount only
Prevents you from recording a transaction unless you have assigned it to an
When this preference is off, QuickBooks allows you to record transactions
that have no assigned accounts. QuickBooks automatically assigns these
transactions to Uncategorized Income or Uncategorized Expense.
Use class tracking
Lets you categorize transactions by assigning them to the classes on your
In QuickBooks, classes give you a way to classify your transactions. You can
use classes to classify your income and expenses by department, business office
or location, separate properties you own, or any other meaningful breakdown of
the business you do.
For example, a general contractor might classify all income and expenses as
relating to either residential or commercial work. A farmer might create a
class for each enterprise—for example, "Corn,"
"Hogs," and "Soybeans." At the end of an accounting period,
the contractor could create separate reports for the residential and commercial
parts of the business. Likewise, the farmer could create separate reports for
each farm enterprise.
When this preference is on QuickBooks includes a Class field on all transactions.
Automatically assign general journal entry number
Automatically assigns a number to a general journal entry. The number
assigned is the number of the previous entry plus one. No number is assigned,
however, if the number of the previous entry is blank.
When this preference is off, you need to enter the number manually.
Warn when posting a transaction to Retained Earnings
Displays a warning if you are about to post to the
Retained Earnings account. In most
cases, you should avoid posting directly to this account because it is
automatically generated by QuickBooks.
Specify whether users should be notified if transactions are the specified number of days before or after the current date.
Note: These warnings will be suppressed in an Accountant's Copy, as
accountants frequently and legitimately work on older transactions.
Closing date/Set Password
Set a password-protected closing date for your company file.
Click the Company Preferences tab.
In the Closing Date section, click the Set Date/Password button.
In the Date section, select the date through which you want your books to be closed.
(Optional, but recommended) Enter a password in both the Password and Confirm Password fields to limit access to the closed accounting period.
QuickBooks requires the password to make any changes that would alter
balances for the accounting period you have closed. This includes editing or
deleting transactions entered on or before the closing date, and entering new
transactions dated on or before the closing date.
Click the OK button.