On 28 Oct 96 09:49am, Brian Hillis wrote to Bruce Wilson:
BW> I've set up my Visa card as a reconcilable bank account, rather than
BW> as a liability account, for this same reason.  I "reconcile" it when
BW> I get my monthly statement, just like the checking account; and the
BW> payments are handled as transfers to it.
 BH> That's very strange.  This means that if you run off a Net Worth
 BH> report or Balance Sheet, the results will be incorrect, and NOT
 BH> refelct your true worth..., which is sort of deating the purpose
 BH> of the entire exercise.
Nope.  The Visa card account balance will be negative or zero.  The
charges are entered like checks and the payments like deposits. As a
negative-balance account, it's a liability.  Reconciling it shows me
what I've paid for and lists what's not been billed as the uncleared
transactions.
--- Via Silver Xpress V4.3dP [Reg]
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