• From: Nigeria, Lagos
  • Registered: 12/20/2023
  • Posts: 3

Topic: Fixed assets purchased and paid for in the past

How do I treat fixed assets purchased and paid for in the past in the newly installed FrontAccounting now? I don't want the purchase to go to the account payable. I need a guide on which accounts I should create for both debit and credit, emphasis these fixed assets have been paid for in the past 5 years.

  • dz
  • Senior Member
  • Offline
  • From: Pakistan
  • Registered: 10/07/2019
  • Posts: 50

Re: Fixed assets purchased and paid for in the past

1. Create a new supplier (say opening balance equity) link it with equity account instead of accounts payable.
2. Now purchase the fixed asset from this supplier, the GL entry will be as follows
Fixed asset Dr
Opening balance equity Cr
3. Repeat the same for all opening fixed assets.

  • From: Nigeria, Lagos
  • Registered: 12/20/2023
  • Posts: 3

Re: Fixed assets purchased and paid for in the past

Many thanks for your response.