tania_franolic
Level 2

Reports & Accounting

Hi everyone,

I have just looked at the options from my QBO when creating a new Chart of Account item.

The type of account is Equity.  The detail could either be Partner Distributions or Owner's Equity.

To answer [mention://6980737 [mention://6980737 @andy.hall]]'s question about the figure being a negative, that is correct.  A draw or dividend is considered a contra account to Equity meaning it's natural position on the balance sheet is a Debit instead of a Credit.

Let me know if you have any other questions.