Price List Issue

I need to implement 3 types of price list for project timesheeting. 1 will be cost price defined in the parameter settings, and 2 price lists which are account based. What this means is that the customer will either be part of price list 1 or price list 2.

I have attached price list against account but when entering timesheet, I get a total of 0. When I navigate to the actuals, it looks like it is picking up a dummy price list that i set up in the parameter (and is now deactivated)

I have 2 questions:-

1) Is attaching price list against accounts the right way to do this?

2) Why are my actuals picking up a deactivate price list previously assigned in parameters? - I have created a new price list and assigned it to the parameters. It's still the same issue.

Thanks!

J