Tutorial and concept guide chapter 9

[Tom Collier]

Please don't take offense, (as large capital and boldface letters
sometimes indicate.)

Gnucash is a tool.  The Tutorial and Guide are an instruction manual.
Bookkeeping and accounting are the knowledge of how to apply the tool.
To use an analogy, Gnucash Tutorial and Concepts Guide is the
instruction manual one how to set the dials, knobs, calibrations on the
tool and how to read output from the dials and gauges. The Tutorial
presupposes that the user has knowledge of how to apply the tool and
sometimes that creates confusion. A torque-wrench is a tool. A
torque-wrench's instruction manual can tell one on how to set the wrench
onto bolts and read the tension output dial properly. However, if one
uses the torque-wrench to drive a nail, one clearly misunderstands
proper application of the tool.

Your original question hinted that you might not be familiar with
bookkeeping and accounting and the reasons for having and using certain
accounts.  The principles of double-entry bookkeeping are rather global,
although individual countries have some quirks about business accounting
practices.  If you are not familiar with double entry bookkeeping, and
the reasons that various accounts are applied in the task of tracking
money, perhaps a chat with a local accountant would be useful.

Regards,
Tom

(BTW...please use "Reply All" in the Gnucash mailing list. That way
everyone is in on the conversation.


On Tue, 2011-05-17 at 14:45 +0600, Md. Aminul Islam Khan wrote:

> 
> 
> On Mon, May 16, 2011 at 10:32 PM, Tom Collier
> <tom.collier at comcast.net> wrote:
> 
>         Your question deals more with accounting/bookkeeping
>         practices.
>         
>         
> 
> My apology, if I have posted in the wrong forum, but the title of the
> tutorial is:
> 
> "GnuCash Tutorial and Concepts Guide" so I asked here.
> 
> 
> 
> 
>         "Fixed assets" are things like buildings, fleet vehicles,
>         land, equipment, etc.  "Current assets" are things that either
>         ARE cash for a dedicated purpose, such as savings, checking,
>         stocks, bonds, short term debts owed to you, reimbursements
>         due from your employer for out of pocket expenses, etc.
>         Generally, the determing factor for a fixed asset is whether
>         you will keep the asset for a year or more. On the Expense
>         side, you track the declining value of non-real estate fixed
>         assets with a "depreciation" account.
>         
>         If you are using Gnucash in a business, you'll probably want a
>         "fixed asset" account as well as a "current asset" account. If
>         you are using Gnucash for personal financial management,
>         simply to track checking, savings and a credit card, you
>         probably don't need a fixed asset account. 
>         
>         
>         
> 
> I am trying to use it for both. 
> 
> 
> aikhan
> 
>         
>         
>         
>         
> 
>