Profit & Loss
Problem reported by Jenny Carr 10 years ago
How do I transfer profit and loss to partners? I assumed it would be via the journal but it is not possible to access the year end profit from here
Thankyou John, I thought this would be the case.
I have trialled a work around on my account for F&G, a partnership account. I have created an account in Equity, currently called it P&L Account but will change to Historic Retained Earnings Appropriation so it's not misleading. I have used this a/c to post partner profit shares to their current accounts. The new account balances against the historic earnings in equity so doesn't affect P&l but allows me to show profit movement. Do you think this is ok? Unlikely to be a common problem but am using the software for an exam currently as thought it would be good way of getting used to system!
Ok, thankyou. I thought this might be the case. If I created an account say Historic Retained Earnings Movement, within Equity, to show the appropriation of funds to partner current accounts etc would this be the best work around? The created a/c would reflect the retained earnings so wouldn't affect p&l but would allow me to move funds to partner accounts. I have trialled it on a partner account F & G, using a newly created P&L account but think the account name needs changing so not misleading. Is this ok?
You must 