I bought a few items with cash for my business before I had received the company credit card. I recorded those transactions by creating a dummy bank account as cash. Most of them were inventory items so I categorized them as inventory assets and paid with the cash account.
The problem I'm having is recording a purchase of an equipment with cash.
I created an account as fixed asset in the chart of accounts, and I put opening balance as the cost of the equipment. However, the transaction is not reflected on the cash account, and there seems to be no way of doing this.
I tried creating a new expense and categorizing it as the fixed asset account, but that only doubles/duplicates the transaction and the balance.
It seems like the only way to do it is to create a fixed asset account, make the opening balance $0 and create a new expense to the account. The problem with that is then the opening balance would be $0.
What is the correct way of recording a purchase of an equipment with cash?