NEW FILE UPDATE

When using journal entry what acct should I credit /debit

thanks

One way to handle this is to use a detailed journal entry that reflects the trial balance as of the last day for your old file. A perfect choice would be 12/31/07. If you have open customer or vendor invoices, back those details from income and expense from the Trial balance. Then create your invoices using the original date and details from your old file. When you are done your Trial balance for 12/31/07 in both files should match. Then you can start entering your 2008 transactions.

The same accounts that show up on the Trial balance from the old company file. As for the invoices it usually is easiest to enter the original Trial balance, enter the invoices and then adjust the trial balance to match the Trial balance from the old file.

Debit I must call my accountant and Credit as soon as possible.