I have just started using accounting software (FreeAgent) for a limited company property rental business.
I am trying to understand how to account for the fixed asset (investment property) in the business - specifically how to make a journal entry correctly to show this asset. (Fixed asset was purchased after inception of business but before I started using the accounting software.)
In the journal entry I have debited the value of the investment property under 'Other Capital Asset Brought Forward', and when the property loans are taken into account, the remainder of the value is showing in the Suspense Account as a liability.
What I would like to do is show this amount in the Suspense Account as not in the Suspense Account but as equity.
Is it possible / correct to do this? If so how? If not, what should I do instead?
I have approached FreeAgent support but don't think I am able to get across to them what I would like to do.
Thanks in advance.