User Support Forum

When we first started using PC a few years ago, I used the accounting reports from previous treasurer to set up all the accounts. Included in that setup was a few entries for fixed assets. At the time, there was a vehicle and some office equipment. I found out that these numbers were not necessarily accurate and there was never any follow up for depreciation on any items. All this does is serve to possibly cloud some of our reports that show assets.

so my question is, how can I remove these? Do I just make a direct credit against the Asset account? If so, what am I debiting?

Thanks,
Debbie

To remove these balances credit the asset account and debit the Unrestricted Net Assets (3110) account.

Thanks matt. I had another question that I meant to post at the same time but forgot. I think it might involve similar transactions to the asset accounts.

A few years ago, our church was starting another church plant. The pastor wanted to track all the income and expenses for this mission separately even though it was using the same checking account as our base church. So I created a "Fund 02" with pretty much all the same income and expense accounts as our regular Fund 01. After the first year, we turned it over to our State Missions and we were no longer financially responsible. At the end of that time, Fund 02 showed a negative ending balance in assets. Obviously, that could only exist because it was sharing our regular checking account.

How do I resolve the negative balance and absorb it back into Fund 01 so that it has a true picture. Do I make more transactions against the asset accounts?
Thanks,
Debbie

Let's assume that you have a negative balance of $100.00 in your Fund 02 checking account. To clear it out of Fund 02 and transfer it to Fund 01 you would need to post an entry similar to this:

Debit 02-1110 Checking Account $100.00
Credit 02-3110 Net Unrestricted Assets $100.00

Debit 01-3110 Net Unrestricted Assets $100.00
Credit 01-1110 Checking Account $100.00

Thanks Matt. I'll give it a try and then run some reports and see how things look.
Debbie