Dealing with business items paid for with a personal credit card

Beth Leonard beth at
Mon May 8 23:15:44 EDT 2006

On Sun, May 07, 2006 at 11:08:27PM -0700, Des Dougan wrote:
> I found it necessary during last month to use a personal card for goods
> which I acquired on behalf of clients. I use GnuCash solely for my
> business, and I would like to determine how I can show these purchases
> correctly so that my income is not over-stated.

When I was setting up my chart of accounts my accountant told me
this type of transaction would be a transaction between the
Expense account for the goods and the Equity:Draw account.  If you
pay yourself back for the transaction with business funds, the transaction
would go from the business checking account to the Equity:Draw
account, bringing Equity:Draw back to a zero balance.

+                             Beth Leonard                          +
+       O say, does that star-spangled banner yet wave              +
+       O'er the land of the free and the home of the brave?        +

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