ACCOUNTING practice question

[Arthur Dyck]

I agree.  Beth's approach is the simplest.

ArthurOn Sun, 2007-05-20 at 18:26 -0800, Lewis Overton wrote:
> Thank you all for your help. I think Beth has the most direct
> approach. I'll give this a try and post how it works. That may take a
> while to get done (or not). I recently learned we have a grant coming
> in which also needs this treatment. Good news for the group. 
> 
> Lewy
> 
> On 5/20/07, Beth Leonard <beth at oasis.slimy.com> wrote:
>         [...]
>         
>         In this way the $100 asset is still in your physical bank
>         account,
>         but you keep track of it as being restricted for use by the
>         Jazz
>         band.  Depending on your needs, you may wish to make a
>         hierarchy
>         like this: 
>         
>         Assets
>           -> Current assets
>           -> -> Bank Account Placeholder (contains no transactions)
>           -> -> -> Unrestricted funds (most transactions go here)
>           -> -> -> Jazz restricted funds 
>           -> -> -> Other restricted funds
>         etc.
>         
>         This way in the account summary page you can easily see how
>         much you
>         have in your bank account (so you don't bounce checks) and how
>         much
>         money is available for general use, as well as how much is in 
>         various restricted accounts.
>         
>         When you balance (reconcile) the checkbook with the bank
>         statement,
>         choose "reconcile" from the Bank Account Placeholder and check
>         the
>         "include subaccounts" checkbox.
>