Entering an invoice for the purchase of an asset - furniture
Hi everyone,
I'm trying to enter a purchase of $5,000 worth of furniture. I need this recorded as an asset as we will be depreciating this cost. I have tried entering the invoice as a purchase but when I choose the asset account number 1-2210 Furniture at cost to allocate to, I get this message:
Just to be clear, the cost of the furniture is not being fully expensed and we are not selling these items.
Can anyone advise where I am going wrong?
Hi Ferraloro,
That account used to allocate a purchase is usually an expense or cost of sales account error will not prevent you from recording your bill, it is just a prompt but you are correct in allocating capital purchases to an asset account. It will be one of the other errors which is causing you problems.
Have you entered purchases before is the accounts payable account setup properly?
Good luck
