Hi
So I am starting a new business next month and was just preparing my accounts as I have already began purchasing the goods.
How do I enter my starting investment into the company…eg… 500?
This same amount of 500 will be used to pay for rent, buy goods.etc. and it is all cash.
So I want the company to show exactly how much she owes me but also deduct from from the funds I have contributed for her expenses.
The answer depends on your form of organization: sole trader, partnership, corporation. But in principle, you will receive the money into a bank or cash account and allocate the transaction to some type of equity account. In double-entry accounting, that is equivalent to debiting the cash/bank account and crediting the equity account. If you are brand new to accounting, I suggest spending some time here: https://www.accountingcoach.com/.