Liability question

[Ted M.]

I set up a simple checking account in Gnucash however I added a "Money 
Owed" liability account. What I would like to do is be able to keep 
track of bills I haven't paid yet as well as expenses and have all my 
accounts update themselves when I enter a trasaction in the check register.

For instance: I owe PG&E $200.00 so I entered that information into the 
"Money Owed" account. I also have a "PG&E" account under Expenses. When 
I enter a payment of $200.00 into the check register as a withdrawl and 
a transfer to "Expenses:PG&E" I would like "Expenses" to show $200.00 
and "Money Owed" to now show $0.00.

As it is now I have to enter the information in the check register and 
then enter the information into "Money Owed." Not really a big hassle, 
but it would be nice to do this automagically, and I'm sure Gnucash can 
do it; I just haven't figured it out yet. I am totally new to 
double-entry accounting.

Ted.