Our Controller is asking if Revel uses cash based or accrual based accounting. Is there a way to adjust this? We use accrual based accounting.
Under the cash basis of accounting... Revenues are reported on the income statement in the period in which the cash is received from customers. Expenses are reported on the income statement when the cash is paid out. Under the accrual basis of accounting... Revenues are reported on the income statement when they are earned—which often occurs before the cash is received from the customers. Expenses are reported on the income statement in the period when they occur or when they expire—which is often in a period different from when the payment is made. With Revel Reporting, it's kind of a mixture of both. The Sales Summary updates the information as sales and payments are made. If an order is reopened on a separate day and adjusted (whether by a void or refund or addition of an item), that order is counted on two separate days, the day opened and the day it was reopened and altered. You do have the option of unchecking Irregular Orders (which ignores duplicated reporting), if you want to exclude those reopened orders. But the reporting formula typically follows this methodology: Gross Sales: Sales + Service Fees Net Sales: Gross Sales - Discounts Net to Account For: Net Sales + Tax + Liabilities (gift cards/deposits) Total Payments: Cash + Credit + Gift Cards + Paypal For Cash Due House: Cash Payments - (Credit Tips + Paypal Tips + Payouts)