Hi many thanks for all the previous discussions on setting up QuickBooks for rehabbing, we poured through the advice and believe our setup and recording of expenditures are correct - now comes the fun part of recording the sale.

What's been done so far:

• Rehabbed property has been setup as a customer
• Current asset "WIP" account setup to track expenditures, with sub accounts to track separately: Purchase costs, rehab costs, holding costs, sale costs
• Items setup and used to record expenditure and post to the appropriate sub account (Zero-dollar check method used) - all transactions recorded against the customer above
• Classes being used to segregate income and expense for different parts of the business (property management, fix/flip)

To date, everything looks correct - all rehab transactions are hitting the balance sheet and not P&L.  Now - comes the sale.

I assume I need to move the balances in the current asset account down to COGS and record the details of the closing statement.  My questions:

• Do I use items to transfer the balances from the current asset to COGS?
• Do I use items to record the details of the closing statement?
• I assume the details of the closing statement would record the sale price, then expenditures related to closing, loan payoffs etc, netting out the cash received
• We normally track income using classes, moving payments received into undeposited funds, then recording a bank deposit.  Do we do the same for the net income from the sale?
• Finally, I assume the transaction to move WIP to COGS occurs AFTER the closing statement as some of the closing costs would be recorded against the WIP sub account for closing costs?

Thanks much for your help - we're big fans of BP and are constantly amazed at the valuable information shared.

-- Greg