do you charge different prices to different customers for the very same merchandise that you
sell well in that case you should learn about quickbooks price levels
if you have any questions about this topic you can leave them in the comments section below
and i'll do my best to help you and of course if you feel the video helped you i hope you will
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why do we use price levels well sometimes we charge different prices than what we
would normally charge for specific items that we sell these special price rules are usually based
on the specific customer that we sell them to for example if we sold apples
to an apple pie company that made apple pies for the homeless we would then charge them
a different rate from the apples as compared to what we would charge our normal customers
so how do we set up for price levels well the price level list will let us choose which
products or services we will make special prices for these special prices will then be assigned
to specific customers when we sell these items to that customer the special price will appear
instead of the normal price for example we have a new customer called anna's amnesty apple pies
it's a not-for-profit organization that helps people by giving them apple pies you know we
have to play along it's kind of hard to think of these examples we will sell apples to her
for forty dollars per apple crate instead of the normal fifty dollars per apple crate
first we have to add the special prices to the price level list from the main menu
click list price level list now like with any other list in quickbooks
we click the bottom left and click new the name of this price level will be apple's
homeless just so that we remember excuse me just so that we remember what it is spelling really
doesn't count now we click in the left margin of the specific item that we are making a custom
price for then on the right we type in the special price that we will give to specific customers
push tab now notice on this row in addition to showing the standard price it also shows you your
purchase cost so that you don't make these custom price too low now this is a little strange when
you click ok you have to click no because if you click adjust it'll flip back to the original price
so for some reason you have to click no and to double check that it saved it properly
you could double click right on it and make sure that it saved the forty dollar custom
price it's a little tricky just click ok now that you have the price on the price level list
now you have to assign the price to the customer from the customer center so at the moment we
add anna's amnesty apple pies we have to also add the special price that she gets for apples
from the main menu click customer customer center then in the top left click new new customer now
the name is anna's pies you don't have to type in the whole name this is just for example
but notice in the new customer window which is the same as the edit customer window if you come
back to it there are five tabs you have to click payment settings tab on the left go to the pull
down on the right and choose the specific custom price level that applies to this specific customer
then click ok and now we're ready to sell anna apple's at a special price so let's imagine
on june 1 2019 we sold 10 apples to anna for cash today well cash today means we made a sale receipt
and the date that we sold it to her is june 1 of 2019 and the customer is anna's pies and the
item that we sell her is apples ah ha notice 40 automatically came up instead of 50 and we're
selling 10 of them so 10 at the special price would be 400. now keep in mind the cost of goods
sold is still going to be 100 because we paid 100 for the apples that we're selling to anna for 400
and the sales will increase by four hundred dollars
save and close and if we open the trial balance we can see when we look at sales double click
scroll to the very bottom the last sale actually got recorded as four hundred dollars in income but
if you double click the cost of goods sold and go down to the very last sale here on june 1
the cost of goods sold is still oh it's actually a little different it's 105 36 because it's uh
you know uh 10 and 54 cents is really the cost of each pie but you get the idea and that's how you
set up and manage price levels and now you will see an example where we give a percent reduction
to a particular customer and in this example we will also apply the price levels to services
rather than merchandise items so this will help you learn let's imagine that we now give betty a
20 discount on editing and video services first we have to add the special prices to the price level
list from the main menu we click list price level list and in the bottom left click price level new
now we will type betty's discount because she is a very good customer
we will click the check marks on the two services that we give the special prices to
that will tell you and indicate to you that we give price levels on services as well as products
we want it to be twenty percent lower than the normal price but now this is a little different
we will click adjust which is different from what we did when we typed in a specific price
so again if it's a percent we click adjust then click ok now we're ready to perform
oh sorry now we're ready to assign the price level to betty so we set it up in the list
now we have to tell quickbooks that betty is the one who gets this discount we click customer
customer center and we double click on betty to get the edit customer window remember
the correct tab is the payment settings and go all the way to the right the pull down menu choice
allows us to choose betty's discount that particular price level and click ok
now we're able to sell her those services and her prices will come up so let's imagine
on june 3rd we did one hour of video and one hour of editing for betty so we open the sale
receipt and we put the date june 3rd and we choose betty notice what happens when we choose editing
a hundred and forty dollars did not come up she got a twenty percent reduction we choose video
three hundred dollars did not come up she got a twenty percent reduction because she is betty
save and close and that's how you create and assign and use price levels
you