What this page is for
This page adds a new account to your chart of accounts, or renames an existing one and changes its cash-flow section. An account's Type, Parent account and Code are set once, when it is created, and never change afterwards; only its name, description and cash-flow section can be changed later.
Only people whose role can manage accounting see this page.
Fields
Type
Which of the five account types this account belongs to. Decides the code block it sits in and its normal balance, and cannot change later. Shown only when adding a new account.
- Asset
- Liability
- Equity
- Income
- Expense
Example: Asset for a delivery van.
Parent account
The account this one sits under. Only an active account of the same Type can be a parent. Shown only when adding a new account.
Example: 1300 · Fixed assets.
Code
The account's own numeric code. Optional: leave it empty and the next free code in the type's block is used. Four digits inside the block: assets 1000s, liabilities 2000s, equity 3000s, income 4000s, expenses 5000s.
Example: leave empty; or 1320 to sit a chosen van account beside others in that block.
Name
Your own label for the account. It is read beside its code in every report.
Example: Delivery van — KBZ 442A.
Description
An optional note about what the account is for.
Example: Toyota Probox used for supermarket deliveries.
Cash-flow section
Where movements on this account appear in the cash-flow statement. Shown only for an Asset, Liability or Equity account.
- The type's default: operating for an asset or liability, financing for equity.
- Cash and equivalents: the statement's closing figure.
- Operating: working capital, such as stock and receivables.
- Investing: fixed assets, such as a delivery van.
- Financing: equity introduced, drawn and accumulated.
Example: Investing for a delivery van, rather than the asset default of Operating.
How to…
How to add an account
- On Accounting → Chart of accounts, press New account.
- Choose the Type and the Parent account.
- Leave Code empty, or type one that fits the block.
- Type the Name and, if useful, the Description.
- For an Asset, Liability or Equity account, check the Cash-flow section.
- Press Create account.
How to rename an account
Open it from Chart of accounts, change the Name, Description or Cash-flow section, and press Save changes.
Worked examples
Supermarket
Tumaini Supermarket adds its new delivery van. Type Asset, Parent account 1300 · Fixed assets, Code left empty (Tulindo allocates 1320), Name Delivery van — KBZ 442A, Description Toyota Probox used for supermarket deliveries, Cash-flow section Investing.
Restaurant and bar
The Acacia Grill & Bar separates its bar card terminal from the rest of its card takings. Type Liability, Parent account 2040 · Card clearing, Code 2045, Name Card clearing — bar terminal, Cash-flow section left at The type's default.