Account types

[chrisg2003]

i am a Newbie so excuse basic question.

When you add an account as a sub-account why doesn't the account type inherit from the parent?

Chris G

[natkir25]

Hi,

In Personal Accountz every account that you create is an individual entity, so that means it does not inherit any properties from the Group account. Also there are certain groups where you can have combination of both Expense and Income sub-accounts. for e.e Revenue Account (group)

Revenue Account = Contains both Income Accounts & Expense Accounts

Thanks
Umesh

[chrisg2003]

Thank you for your help.

Would retained earnings fit into Assets or Equity?

Thanks

[Kate]

Dear chrisg2003,

In our Business Accountz software retained earnings sits within the Equity account and is defined thus: 'Earnings or income held for future use. This represents the accumulated unused profits (and losses) from all the previous years since the company started.' So I think that it ought to sit in the equity account that you would create for yourself in Personal Accountz.

A further point about mixed account types within one group is that you need to set the overall holding account (super-group-type) correctly - please see here for the full thread on types: http://www.accountz.com/paz/pazforum/vi ... ?f=8&t=310 (especially this bit 'If you have a group that contains both Income and Payment type accounts, set the group to the Income type. This will then show a positive balance if you are earning more than you are spending and vice-versa.')

Hope this helps!

Kind regards,

Kate