Helpful, but I spent too much time away from the accounting world, and I've gotten used to the more general usage of "credit" and "debit" words in general English, where debit is used for "take away from" and 'credit' is used for "add to".
Thus I used the simplified terms in GnuCash. Here is the table in a mono-spaced font: (an asterisk indicates a main account type) * BALANCE ACCCOUNT TYPE DEBIT CREDIT debit NONE Funds In Funds Out debit BANK Deposit Withdrawal debit CASH Receive Spend debit CREDIT Payment Charge credit CREDIT Payment Charge * Debit ASSET Increase Decrease * Credit LIABILITY Decrease Increase debit STOCK Buy Sell debit MUTUAL Buy Sell debit CURRENCY Buy Sell * Credit INCOME Charge Income * Debit EXPENSE Expense Rebate * Credit PAYABLE Payment Bill * Debit RECEIVABLE Invoice Payment credit TRADING Decrease Increase * Credit EQUITY Decrease Increase On Sat, Jul 1, 2023 at 10:00 AM Adrien Monteleone < adrien.montele...@lusfiber.net> wrote: > I understand your post is in the context of the importer - which is a > whole different beast, but discerning the 'normal' balance of account > types is not a mystery. It is dependent on their position in the > Accounting Equation. > > > Assets = Liabilities + Equity > > *adding in the special Equity type account of Retained Earnings yields: > > > Assets = Liabilities + Equity + Retained Earnings > > > Retained Earnings = Income - Expenses > > > thus: > > > Assets = Liabilities + Equity + Income - Expenses > > > moving terms so all are 'positive': > > > Assets + Expenses = Liabilities + Equity + Income > > > and since: > > > Debit = Credit, Left Side = Right Side > > > therefore: > > Assets & Expenses are normally (when positive) Debit balanced accounts > (left side), and Liabilities, Equity & Income are normally (when > positive) Credit balanced accounts (right side). > > Gnucash treats the equation differently internally, so by default this > is a bit different: > > Assets + Expenses - Liabilities - Equity - Income = 0 > > thus: > > By *default* in Gnucash, Liabilities, Equity & Income normally show > their Credit balances as negative numbers. (because their terms have > been moved to the opposite, or left, side of the equation in the code) > The 'Reversed Balanced Accounts' preference adjusts the *presentation* > back to the original equation per your liking. Internally, these > accounts remain negative when they have a credit balance. > > ----- > > Your below chart looks correct except the one type I noted below: > > Regards, > Adrien > > On 6/30/23 11:00 PM, flywire wrote: > > Is it CR or DB? Who knows, toss a coin: > > https://bugs.gnucash.org/show_bug.cgi?id=798964 > > > > An interesting list of accounts adapted from a comment with an `*` next > to > > the main account types: > > > > * BALANCE ACCCOUNT TYPE DEBIT CREDIT > > debit NONE Funds In Funds Out > > debit BANK Deposit Withdrawal > > debit CASH Receive Spend > > ----- > > debit CREDIT Payment Charge > credit CREDIT Payment Charge > *A Credit Card type account is a Liability and thus normally has a > Credit balance. > > ----- > > * Debit ASSET Increase Decrease > > * Credit LIABILITY Decrease Increase > > debit STOCK Buy Sell > > debit MUTUAL Buy Sell > > debit CURRENCY Buy Sell > > * Credit INCOME Charge Income > > * Debit EXPENSE Expense Rebate > > * Credit PAYABLE Payment Bill > > * Debit RECEIVABLE Invoice Payment > > credit TRADING Decrease Increase > > * Credit EQUITY Decrease Increase > > _______________________________________________ > gnucash-user mailing list > gnucash-user@gnucash.org > To update your subscription preferences or to unsubscribe: > https://lists.gnucash.org/mailman/listinfo/gnucash-user > ----- > Please remember to CC this list on all your replies. > You can do this by using Reply-To-List or Reply-All. > -- _________________________________ Richard Losey rlo...@gmail.com Micah 6:8 _______________________________________________ gnucash-user mailing list gnucash-user@gnucash.org To update your subscription preferences or to unsubscribe: https://lists.gnucash.org/mailman/listinfo/gnucash-user ----- Please remember to CC this list on all your replies. You can do this by using Reply-To-List or Reply-All.
