Hi, Everyone. I have a problem with my balance sheet not balancing. I'm in the process of setting up an LLC and have paid some expenses with personal funds (I now do have a dedicated bank account for the LLC). The balance sheet is off, coincidentally, by the exact amount of those expenses. Here is an example entry (where I received a bill for $50 from consulting with a CPA and paid with a personal check):

Cash - dr - $50
Equity - cr - $50

Professional Consulting Fees Expense - dr - $50
Cash - cr - $50

So as near as I can figure, Cash now has $0; Equity has $50 and PCF Expense has $50. But, the expense isn't reported on the balance sheet. I can't for the life of me figure out another way to journal and post which would allow the sheet to be in balance other than debiting equity and crediting the expense. As far as I understand, that is supposed to happen at year end with closing entries.

Any insight will be greatly appreciated. Thanks so much for your time!

The expense must now be charged against equity as a loss