[GNC] Asset vs Equity accounts?

[Geoff]

Hi Gord

See attachment - just like Stephen said, but in pictures.

Hope this helps.

Regards

Geoff
=====

On 15/02/2021 8:29 am, gnu Gord wrote:
> First off I'll say I have no formal accounting training so I don't really
> understand accounting terminology or how it is represented in GnuCash.
> 
> I understand the basic idea that Equity = Assets - Liabilities, but I'm
> unsure how this should be entered in GnuCash.
> 
> Specifically, my question is; how do I know if something I have should be
> recorded in an Asset account or an Equity account?
> 
> For example, our house. The documentation says an asset is something I own.
> That would mean our house should go in the Asset account, correct?
> But the documentation also says equity is my overall net worth. If I don't
> owe anything on my house, should it be recorded in an equity account
> instead of an asset account?
> 
> What about a car, should it be recorded as an asset or equity if I own some
> of it but have a loan on it as well?
> 
> Sorry for asking so many dumb questions but my head is about to explode!!
> ;)
> _______________________________________________
> gnucash-user mailing list
> gnucash-user at gnucash.org
> To update your subscription preferences or to unsubscribe:
> https://lists.gnucash.org/mailman/listinfo/gnucash-user
> If you are using Nabble or Gmane, please see https://wiki.gnucash.org/wiki/Mailing_Lists for more information.
> -----
> Please remember to CC this list on all your replies.
> You can do this by using Reply-To-List or Reply-All.
> 
-------------- next part --------------
A non-text attachment was scrubbed...
Name: gnc_house_car_example.jpg
Type: image/jpeg
Size: 468878 bytes
Desc: not available
URL: <http://lists.gnucash.org/pipermail/gnucash-user/attachments/20210215/fb3bffe0/attachment-0001.jpg>