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We have a $30,000.00 loan, our agexpert consultant set it up as a "create credit" - we then used it to purchase fertilizer - how do we get that expense to show on the income/expense sheet - enter a new transaction showing it as a withdrawal? Will that not result in a negative bank balance?
Hi Nesdamycart!
You will definitely enter it as a "withdrawal", but the withdrawal will be for 0.00, which is how we get around not affecting the bank account.
In your transaction entry screen, enter your date, reference, & description, and do not enter anything into the Total.
On the first line, claim any expenses that are necessary (fertilizer & lime expense, in your case). Then, create a second line. I'm not exactly sure from your posting where the loan was set up in your books, but the second line will be an A- (if the loan is set up as an asset) or an L+ (if the loan is set up as a liability) to offset the expense and balance the transaction.
I hope this makes sense and helps you out a bit!