While reviewing the Profit and Loss Statement in Reports, I notice that each item in the revenue account registers as a negative number and each item in the Expense registers as a positive number. Why is that and is there a way of fixing it?
You are viewing transactions, not the Profit and Loss. The figures show correctly in the report. Display of the transactions is based on the double entry accounting system. Debit transactions are positive figures and credit transactions are negative.
Yeah. I am missing your point because transaction receipts suppose to be positive and payments suppose to be negative.
When dealing with debits and credit, the sign changes when dealing with Revenue and Expenses. I get it that Revenue is a credit account and Expense is a debit account. However the plus and minus are incorrect on so many levels. The presentation of this sheet is wrong. Money comes in (+) Money goes out (-). That is how simple it should be. If this is not simple, what method (standard) are you using? You sparked my interest.
Thanks Davide. Maybe, I am asking the wrong question? Where does it say that Revenues should be negative?
In standard notation as you can see there are no sign. You allocate it either in debits or credits.
But when you have to do a linear riclassification you have to choose if debits are positive or vice versa. The standard is what you see.
1 Like