I occasionally purchase petty cash items with my own money and then add the amount in the accounts as paid from the cash account. I now notice this has now totaled approx £800.00, in theory this amount has been paid from my drawings. How can I now subtract this from my Drawings
Hi Jeff,
You mention that you record the purchase as 'paid from the cash account'. Do you mean the Petty Cash account? If so, just create a General Transaction from the 'Owners Drawings and Personal Use' account to the 'Petty Cash'.
Regards
