Dear Martin, Yes. I was thinking of something like what you did but for small businesses. Some sample transaction for small businesses.
Can we all confirm on the following points:- *ACCOUNT STRUCTURE * Balance Sheet ---Assets : Cash, Account Receivables, Supplies, Equipments ---Liability : Notes Payable, Account Payable, Wage Payable, Unearned_Revenue ---Equity : Common Stock, Retained Earnings, Income Statement ---Revenue : Service Revenue , Investment Revenue ---Expenses : Wage Expenses, Rent, Depreciation Expenses etc. *TRANSACTION SAMPLES * TRANSACTION 1 Dec 1 2014 - Joe starts his business by making a personal investment of $20,000 in in his firm in exchange for 5,0000.00 common stock. Cash account is increased from 0 to $20,000.00 Also there is an increase stock holders equity account of Common Stock to $20,000.00. Assets:Cash $20,000.00 Equity:Common Stock TRANSACTION 2 Joe purchases a a vehicle using cash by writing a cheque of $14,000.00 2 accounts involved here are Cash and Vehicle Assets:Cash Assets:Vehicle $14,000.00 TRANSACTION 3 Joe contacts an insurance agent regarding insurance coverage. The agent informs $1,200.00 will provide insurance for 6 months(each month $200). Assets:Cash Assets:Prepaid_Insurance $1,200.00 Each month it will go as follows:- Assets:Prepaid_Insurance Expenses:Insurance $200.00 TRANSACTION 4 Customer pays Joe $10 for 2 deliveries for that day against invoice#001. Assets:Cash $10.00 Revenue:Service_Revenue:Sales:Invoice#001 TRANSACTION 5 Lets say Joe gets a big order and needs to deliver 50 parcels immediately for $250. He hires a helper to deliver the parcel. The customer tells Joe to submit an invoice of $250.00 and he will pay it in 7 days. Since Joe delivers 50 parcels, he has earned $250.00 Assets:Account_Receivables:Invoice#002 $250.00 Revenue:Service_Revenue:Inv#?? Do we mention on the Service_Revenue the order Number? or on the Unserviced_Revenue? TRANSACTION 6 For sake of simplicity Lets say the only expense was the Temporary Helper. The temporary helper fee is $80 and is due by Dec 2nd. Expenses:Temporary_Helper $80.00 Liability:Account_Payable:Helper On Thursday, May 7, 2015 at 4:52:16 PM UTC+7, Kev Lau wrote: > > Hi, > I am still having difficulties with coming up with a proper mean of using > a ledger for my business. I am hoping that someone here could see my Ledger > and tell me if it looks sound. I don't want to make alot of entries and > later realize I have been doing it wrong. I have read some material on > accounting and feel that I understand how to make entries(but not sure how > well I am organized and structured) > > Below is a sample of my hypothetical testing ledger. If you could have a > look and give me some advise/tips I would deeply appreciate it. > > > > #GENERAL_ELECTRIC:ASSETS:CASH:CITIBANK US$-12,998.06 ;cash > recd, debit to cash acct. > #GENERAL_ELECTRIC:LIABILITIES:ACCOUNT_PAYABLE:VENTURE_ENTERPRISE US$ > 12,998.06 > > #GENERAL_ELECTRIC:EXPENSES:BANK:CITBANK:FEES US$-19.35 ;cash paid out > credit to cash acct. > #GENERAL_ELECTRIC:EXPENSES:BANK:CITIBANK:FEES US$-77.41 ;cash paid > out credit to cash acct. > #GENERAL_ELECTRIC:ASSETS:BANK:CASH > > #GENERAL_ELECTRIC:ASSETS:CASH:CITIBANK US$-4,998.06 > #GENERAL_ELECTRIC:LIABILITIES:ACCOUNT_PAYABLE:VENTURE-ENTERPRISE US$ > 4,998.06 > > #GENERAL_ELECTRIC:EXPENSES:BANK:CITIBANK:FEES US$-34.19 > #GENERAL_ELECTRIC:EXPENSES:COST_OF_GOODS_SOLD:TRIA_SOLAR:INV004 > US$-12,000.00 > #GENERAL_ELECTRIC:EXPENSES:BANK:CITIBANK:FEES US$-34.19 > #GENERAL_ELECTRIC:EXPENSES:COST_OF_GOODS_SOLD:DYNO_WORKS:INV004 > US$-3,808.00 > #GENERAL_ELECTRIC:ASSETS:CASH:CITIBANK > > #GENERAL_ELECTRIC:REVENUE:SALES:MICROSOFT:INV004 > > US$6,000.00 > #GENERAL_ELECTRIC:ASSETS:RECEIVABLES:INV004 > US$-6,000.00 > > > -- --- You received this message because you are subscribed to the Google Groups "Ledger" group. To unsubscribe from this group and stop receiving emails from it, send an email to [email protected]. For more options, visit https://groups.google.com/d/optout.
