Book

[Mike or Penny Novack]

On 2/29/2016 1:40 PM, E Rosenberg wrote:
> Deaer List -
>
> I obviously need to better understand T accounts.  Would you please
> suggest some books that handle these accounts in detail.
>
> Thanks,
>
> Ethan
Almost any "Accounting 101" or "Bookkeeping 101". All "T" accounts are 
is a teaching tool to help visualize what is going on.

Your previous was a question about what this transaction should look 
like (presumably if done as a single transaction). I will show you that 
in "journal view" form (you temporarily see that for the transaction you 
are entering when doing a "split". Note that I will use debit (left 
side) and credit (right side) which might be less confusing than deposit 
and withdrawal (since those don't make sense for all of the accounts 
involved -- but back to your "T" question for a moment; do you see that 
under the top bar of the "T" there is a left side and a right side).


********************************************************************************************************8
date         Assets: Accts Receivable             db   700    *
                  Expenses: Cost of Goods Sold    db   450    *
*         Income:Sales         cr  700
*         Asset:Inventory    cr  450

Michael

PS: You are probably not ready to try a "two way split" (transaction 
split on both sides. For right now enter as two separate transactions.

PSS: But you asked how I would do it. OK. Let's say I started entering 
the transaction in the account Accts Receivable << I am at the moment 
treating this as a normal manual account with that name, NOT something 
part of gnucash's business features >>

Having opened that account, I would enter the date, and the amount 700 
as a debit (in the left amount column) and hit SPLIT. That would bring 
up a journal view with the aforementioned line an under it one with the 
700 as a credit and the account name Imbalance. I would change the 
amount to 450 and the account to Asset:Inventory and hit enter. Presto, 
now a new line below with amount of 250 and Imbalance. I would change 
Imbalance to Income:Sales and the amount to 700 and hit enter. Presto, a 
new line with account Imbalance and amount 450 as a debit (now in the 
left column). I would change Imbalance to Expenses:Cost of Goods Sold 
and hit enter, and then enter again. But I've done lots of two way splits.

Again I will repeat my suggestion. First get very comfortable with one 
way splits before you tackle a two way.