I have just installed your software and am changing over to it from MYOB. I have a question about setting the opening balances for the equity accounts.
Do I need to transfer the exact closing balances from the closing MYOB balance sheet for 'owner's capital', 'retained earnings' and 'current year earnings' (which seem to have increased cumulatively over the period of using MYOB) or is it OK to start the Solar opening balances with just one figure for 'owner's capital' and one for 'retained earnings' (being the amount still due/owed for accounts receivable/payable from previous years)? Those two figures hopefully should equal the 'total capital amount' from the MYOB balance sheet.
If that is OK to do but there should be a negative figure in the balancing account, is it then just a matter of adjusting the owner's capital account opening balance accordingly?
Hi Robert,
It doesn't matter too much as long as the total Equity balance is the same. I recommend you add the Retained Earnings and Current Year Earnings balances from MYOB and use the resulting figure as the starting balance for Retained Earnings in Solar Accounts.
Regards,
