On May 1, 7:06 pm, Matthew Palmer <[email protected]> wrote: > I'm no accounting genius, but I'm pretty sure the answer is "You Don't". > The process, as I understand things, is that you "open the books" at some > given date, and the value of all your assets/liabilities as at that date are > entered as your opening balances. There's no such thing as "pre-existing > income/expenses" -- if you want to record those, you open your books as at an > earlier date, and record the income or expenditure as it happened (in > accordance with accounting rules regarding when a revenue or expense is to > be recorded).
I think you're right. I now have a much better understanding of how to specify opening balances. > (Who charges a friend interest, anyway?) Okay, I'll give it back: Cr Assets:Cash $10 Dr Expenses:Interest Adjustment $10 Correct? Derek
