In every set of accounts I've met in my manual courses, there is a Capital Account but I notice there is no such code in the default Sage nominal ledger. I'm assuming that a universal concept such as a Capital Account hasn't been overlooked so which code is used? Reserves?
I can't understand why there is a capital account pre installed either. You would think they could ask a question at set up as to what type of entity you are (sole trader, partnership, ltd etc) and default the codes accordingly.
Sage recommend creating a new nominal code 3300 for capital introduced and 3260 as a Drawings account
Forgot - you will need to edit the chart of accounts to include the range as well
Bill
-- Edited by Wella on Monday 1st of March 2010 12:32:57 PM
Hi Neil,I've always used code 3000 for the Capital account and 3100 for Drawings.You will need to change the account in COA that way it will show as a Capital account in your balance sheet not as Reserves.
Hi Neil,I made a huge mistake.What I meant is change the Reserves account into Drawings in the COA otherwise it will show as reserves in your balance sheet.Maybe I shouldn't answer to any questions at this time in the morning. Sorry
Hi Sweetpea. I did that, changed 3000 to Capital. I shows as Capital on the Trial Balance but Share Capital on the Balance Sheet. I think I'll need to learn about editing the COA which seems to be organised for a Limited Company by default.
Hi Neil,yes,you need to make a change in the COA.Go to Capital & Reserves and change Share Capital into Capital.Everytime you make a change in the COA click on Check button and Sage will check if there are any errors. If you have any doubts,before you make any changes in the COA,print off a list with the accounts,that way you can always correct any mistakes. Hope this helps. Cheers.Laura
