[GNC] When closing books, equity statement report is incorrect

[Adrien Monteleone]

I agree.

Regards,
Adrien

On 1/4/24 9:18 AM, Michael or Penny Novack wrote:
> Users should keep in mind that when we say things like "you don't have 
> to close the books; gnucash can produce the necessary reports without 
> doing that" we are talking about PERSONAL books and sole 
> proprietorships. Equity in these cases is simply the equity of the "sole".
> 
> Businesses with more complex ownership will need a complex structure 
> under equity because the ownership is not sole. That structure is 
> keeping track of how equity is divided up among the "owners" -- plural. 
> In that case probably will have to close the books to get the net 
> income/loss properly distributed among these interests. And the "close 
> the books" tool provided by gnucash might or might not be of use (it 
> won't do the distribution part of it).
> 
> Sorry, but I think "how to keep books for a partnership" and "how to 
> keep books for a corporation" is not what we should be giving advice 
> about beyond "when using gnucash as the accounting software" (any 
> peculiarities vs other software or pen and ink on paper). Both of these 
> organizational forms will require equity to be structured. Not the same 
> structure and the activities to be tracked will be different.