I set up three classes in QBO to track income and expenses. After entering my invoices and expenses I ran a Profit and
Loss statement and it shows my three classes I setup for Income. Class 1 Income, Class 2 Income,
and Class 3 which is my overhead expenses. Class 1 and 2 show positive income
after expenses but class three has no income and is showing a negative after
paying expenses. I need to move class 3 overhead expenses over to the other two classes
which have income and positive balances.
How do I allocate the amounts in the overhead column in
class 3 to the other two classes based
on total sales received using a percentage?
Then how do I record a journal entry to allocate the
overhead expenses?
Thanks
