We recently opened a line of credit for $450k. I created a new account in Quickbooks, listing it as Other current liabilities > Line of Credit and entered the balance as $450k.
However, when I tried to record a Transfer of $130k from the LOC to the bank account, it added $130k to both the bank balance and to the LOC balance, making the LOC balance $580k instead of subtracting the 130 from the available line and making it $320k.
Should the opening balance have been recorded as -$450k instead? Or should the transaction be a journal entry instead of a transfer?
