Quicken & Other Budget/Accounting Software/Income



Closing of a/c in Dec14 for year 2014, there is a balance of $4,641.20 from the holding company (Income).

How do i move this balance to Amount due from Holding Company under "Other Asset"?


I dont know the answer to this one as I am unclear
as to how and why the 4641.20 was posted to income

I will assume that the 4641.20 is a credit balance if
it was posted to income

Therefore a Debit would be required to bring it to zero.
Now you need to decide where the credit should be posted

If you post a credit to an "other asset" , then the balance
will be a credit balance in an "debit balance" account.
(Assets are debit balance accounts). That would display as
a negative number on the balance sheet.

If indeed we have to post a credit, I would then assume tha t
the money is due to a related party company. So I would set up
a Liability accont alled Due to XYZ company.

You asked how to move it.  You would use a jouranl entry.
Debit the income account (if it is a credit balance)
Credit the Due to XYZ account

Linda Saltz, CPA
Advanced Certified QuickBooks Advisor
We sell and support QuickBooks Enterprise

Quicken & Other Budget/Accounting Software

All Answers

Answers by Expert:

Ask Experts


Linda Saltz, CPA, QBalance.com


QuickBooks best practices, troubleshooting, accounting, tax We have over 70 pages of website content about QuickBooks tips, running a business, tax and business startup at http://www.qbalance.com


Accountant and CPA over 20 years. Specializing in accounting software for over 12 years, Certified QuickBooks Pro Advisor, QuickBooks seminar instructor since 1997.
Producer of www.QBalance.com over 100 pages devoted to QuickBooks help and support and training for small business owners in tax and accounting issues.

©2016 About.com. All rights reserved.