I am a little confused. We have a limited liability company, therefore the accounts have directors loan accounts set up as Other Current Liabilities. We recently updated our accounting software transferring the accounts to QuickBooks 2018 desktop version.
While creating the new accounts in the system, I entered the directors loan account opening balances in QuickBooks as usual, and the corresponding double entry posted in the Share Capital Account as per the example below:
Directors Loan Account = Credit 10,000
Share Capital Account = Debit 10,000
This doesn't seem right to me, can anyone tell me if this is correct please