Expert: Arthur Naman - 8/5/2008

Question
A bookkeeping question using Simply accounting

What does my journal entry look like for this situation?

I am doing books and the company Incorporated and I'm a little confused on Shareholder loans , can you help me?


Payment to a shareholder loan (3015) from the bank acct

I have a number of varying  individual accts that have been  grouped under Shareholder loans by the accountant.  
eg.
Student loan
personal credit cards used for business purposes
Bank loan
petty cash
Life Insurance
Lessons/fitness

I would like to journal entries for these expenses to the Shareholder loan (3015).  How do I do this ?  What does it  look like?

Looking forward to some help
thank you

Answer
I do not use, and have not used, Simply Accounting. The answer which follows is a general answer for double entry accounting software.

To transfer the entries described, you should be able to credit the individual accounts and debit shareholder loans.

For example:

Shareholder loans  $100.00 dr             
Student loan   $100.00 cr

When all entries are completed, the sub-accounts should then be zero and the shareholder loans account should then include all the payments made by the corporation for shareholder personal items.

I am assuming the software package will allow for a general journal entry to be made.

If further questions, please do not hesitate to ask.