[Alan Murrell <alanm@vcn.bc.ca>] Asset / Liability calculations?

[Robert Graham Merkel]

On Tue, 31 Jul 2001 12:01:45 Alan Murrell wrote:
> Hi There!
> 
> I'm a new subscriber, as well as a new user to gnucash.  First, let me
> say that this is really a good product!  I was used to using MS Money,
> but this is definately a good substitute!
> 
> However, something I noticed which I am not sure is a flaw in the program
> or not, and it has to do with the "Net Asset" calculation that appears in
> the lower right-hand corner of the main screen, and also in the "Asset"
> Report
> 
> First, I have several "main" categories set up:
> 
> 100 Liabilities (my various debts) --> setup as a liability acct
> 200 Expenses (rent, utilities, taxes taken off paycheque, etc.) --> setup
> as a "Liability" acct
> 300 Income (bank interest, paycheque amount before taxes)
> 400 Assets (bank accounts)
> 
> The "Net Assets" calculation seems to go:
> 
>           Liabilties + (Expenses + Assets)
> 
> I'm not sure that "Expenses" should even enter into the equation, should
> they?
> 

Why aren't you using an Expense account for expenses?


-- 
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Robert Merkel	                           rgmerk@mira.net

Go You Big Red Fire Engine
-- Unknown Audience Member at Adam Hills standup gig
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