Tutorial and concept guide chapter 9

[Tom Collier]

Your question deals more with accounting/bookkeeping practices.

"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.


On Mon, 2011-05-16 at 11:59 +0600, Md. Aminul Islam Khan wrote:

> Hi developers and documenters,
> 
> Gnucash is a great program, as a layman I have learned a lot. Thanks.
> Apology if I am asking in wrong place.
> 
> Tutorial and concept guide (online):
> Chapter 9.3 account setup, asks to setup ...
> Assets:Current Assets:Savings Account
> 
> Next Chapter 9.4 Example, descriptions and tables ask to transfer to ...
>  Assets:Fixed Assets (should it be Current Assets?):Savings Account
> 
> I am a bit confused. Please correct me.
> 
> aikhan
>