<klink type="cncpt">Tell me about the Chart of Accounts</klink>
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<p>The Chart of Accounts gives you a bird's-eye view of your entire business as represented in Money. It lists your business <glossary>asset</glossary> accounts (such as bank accounts), <glossary>liability</glossary> accounts (such as business debts), and <glossary>equity</glossary>.</p>
<p>Money starts you off with a set of standard business categories tailored to the type of business you describe in the Money Setup Assistant. The Chart of Accounts is an ideal place to adjust your business accounts and categories. You can:</p>
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<li>Edit categories or account details.</li>
<li>Add or remove categories or accounts. (When you add an account to your Chart of Accounts, you remove it from the list of personal accounts; when you remove an account, you add it back to your personal accounts.)</li>
<li>Create new business accounts or categories.</li>
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<tease>Define business assets, liabilities, and equity.</tease>
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<p>A <emph>business asset</emph> is something of value to your business. Fixed assets include equipment or property that you acquire for use in the operation of your business. Current assets include cash, inventory, <glossary>accounts receivable</glossary>, or other items that are converted to cash in the normal course of business, generally within a year.</p>
<p>A <emph>business liability</emph> is any business debt. Current liabilities include debts to be paid using current assets, such as short-term loans, taxes due, salaries and wages payable, and other bills due within a year. Liabilities such as loans to buy a business vehicle or start a business are long-term loans.</p>
<p><emph>Owner's equity</emph> is your investment in the business adjusted by profit or loss from the business. In other words, the owner's equity amount is the net worth of the business. A simple way to calculate the net worth of your business is to subtract its liabilities from its assets. For example, if your business has $1,000 in assets and $250 in liabilities, its net worth is $750.</p>
