This one has me a little confused, i know it's not hard to do
We are having a yard sale at the Church and the person in charge of the sale needed some cash to make change. I hand wrote a check for cash at the bank and withdrew $100.00
I am trying to figure out how to enter this into PC. The money came from our regular operating account and also assuming that we make money, when I deposit the proceeds from the sale do I need to account for $100.00 of that being from the original withdrawal?
Create another asset account called something like "Cash Drawer." When you write the $100 check for change, Credit checking and debit the new "Cash Drawer" account. When the yard sale is over and you don't want a balance in the "Cash Drawer" account, debit your checking account for the amount of the deposit, credit the "Cash Drawer" account for the $100 you took out to make change, the difference presumably would be the proceeds of the yard sale and would be credited to an income account.
