• Registered: 06/28/2010
  • Posts: 5

Topic: some accounts

Hi,

I am in the "system and general GL setup" and I think it is rather a language thing:

I need to specify

- Retained Earnings. Q: there is a billion translation for retained earnings. what does it refer to? eg is it when you move profits from assets to claims in the balance?

- Profit/Loss Year. Q: Huh? Shouldnt that be calculated resp. consolidated within the equity?

- Sales Account: Sorry, I have no useful translation for this. What does this cover? Or whats the difference between it and receivables?

Thanks in advance.

Regards
Jo

  • joe
  • Administrator
  • Offline
  • Registered: 03/15/2007
  • Posts: 5,085

Re: some accounts

Retained earnings is an accumulated account for year to year turn over.
When you close a fiscal year the profit and loss for the year is debited the Profit/Loss Year and credited the Retained Earnings. This is if it was a profit. The other way round if it was a loss.
The Sales Account is the account that is credited every time you invoice your customers.

If you are interested in Accounting, there are links to good instructions here:



/Joe

  • Registered: 06/28/2010
  • Posts: 5

Re: some accounts

Awesome, thanks a lot Joe. I could successfully (at least I hope so) finish setup.

btw. that link is awesome. It goes way beyond accounting - and it is for free yikes