After creating a new QuickBooks data file for an existing company and entering all the existing balances, use an opening adjustment to move the balance in the _________ account to the Capital Stock account.
A)Uncategorized Expenses
B)Uncategorized Income
C)Opening Balance Equity
D)None of these

Question

Quizplus · Accepted Answer

The Opening Balance Equity account is used when creating a new QuickBooks data file for an existing company, to record any discrepancies between the actual bank balances and the balances in the accounting system. Moving the balance in the Uncategorized Expenses account to the Capital Stock account would not make sense, as expenses are not related to capital stock. Moving the balance in the Uncategorized Income account would also not make sense, as income is not related to capital stock either. Therefore, the correct choice is C.

After Creating a New QuickBooks Data File for an Existing