[ACC] How to manage your economical NET

Day 3,845, 07:58 • Published in Iran Iran • by Akane Kawahara

Dear Friends
It has been a while since I have published my latest educational article and, I am afraid to mention this article is not about coding. But do not be afraid this time I came up with same different idea.
This idea came into my mind while I was studying an accounting software called “Hulu” (literally means peach in Farsi) and since it lacks some programming knowledge, plus it is paying program – and I am so poor to afford it – I was looking for an alternative. I use linux operating system as my main OS and I was introduced to GnuCash Accounting software. It is free to download.
Now I have the program and I have accounting knowledge but I was so lost in GnuCash. It looks super Greek to me.

What was my solution?
I starting to familiarise myself to this program, but I needed some data. So I used my Erepublik account transactions and tried to record my Erepublik account Assets in GnuCash.

In this article I will persuade you why you should use Accounting in Erepublik, I teach some accounting and record some data in GnuCash.

What is Accounting?
Accounting or accountancy is the measurement, processing, and communication of financial information about economic entities such as businesses and corporations. [1]
Imagine your account is a corporation, where you Work as a worker whereas its income is known as service income, you Buy and Sell Food, Weapon and House and their raw materials. You can buy and sell gold with profit or loss, you earn combat order which goes into same service income. You can record every tax you pay, you can list your assets by money you can get a report of every consumption you made either food, weapon or house under your expenses and so on.

Whether you start recording your account is up to you but reading this article would not hurt. In the end you learn some accounting (Knowledge), also it might be a great help to know whether you earn profit in Erepublik or your profit comes from somewhere else?

In governments it would be great if Minister of Economy have basic knwoledge of accounting so she knows how to distribute budget in country or in the end of term they can generate a proofable records of budget allocation.

Accounting
The main thing individuals need from accounting is a report called Balance Sheet.
Balance sheet has three main parts: Equity, Assets and Liabilities.
In Accounting, Assets must be equal to amount of equity plus liabilities.
What you own is the total of equity, not your cash. Accounting is done with Double entry, for example You Buy Q7 Weapon with CC:
Your cash will decrease and you recieve Q7 weapon.
+ Q7 weapon 40 CC
- Cash 40 CC
Let us get down to business and see the outcome.

Erepublik Accounting
First of all download GnuCash application and install it in your computer.
When you are set you can Create a new file for your Erepublik accounting.
First of all you have to setup your Book. Click on next until you reach Choose accounts to create:
Uncheck all selected items and check A Simple Checkbook and click next:
Check accounts like I did in image above, also we need another account called Liabilities In main hierarchy now Next and Apply.
You will see a list of your accounts.

There is an icon with + on it click on it so it will create new account:

Fill it in like I did. Choose new top level account in parent account and its account type as Liability. (Choosing account type will affect the account header value for + and -)

If you check Placeholder you can not add information to account so you must add sub-accounts to them.

Accounts
Everytime any transaction is completed in your Erepublik where you promise to pay or promised to be payed you must add a new record between your accounts.
Some financial activities must not be recorded, like putting and offer on Monetary Market, Employing an Employee… but if your offer get accepted, you can record it.

Here I will briefly introduce accounts:
Assets: All thing you have in your account, Cash, Gold, Weapons, Food, inactive houses and Raw Materials.
Equity: For now when we start open a book (Your account is not empty even when you create new account you have 500CC starting money.) this starting money goes into Opening Balances account which is a Equity Sub-Account. Then at the end of accounting period (In Erepublik Let’s set it to 1 month), the profit will be added to your Balance under this section. Also gifts goes into this account.
Liability: In real life people work with debts. If you ask a friend to give you 10K CC, and you will pay it back in 2 months you have to add this amount to Payable Accounts which is a Liability sub-account.
Expenses:‌ When you pay for Resistance War, Food, Weapon, Employees and … these are expenses.
Income: When you earn Resistance Hero Medal, Sell Food, Weapon and … these are incomes.

Categorize Better
Now that you know what are Assets you can add sub accounts to your asset account to manage yourself better.
These account are for your own management, in real life we have Cash account, Bank account, Properties and … But in Erepublik I recommend this hierarchy:

Currency
Gold
Food →
Q1 – Q7
Weapon →
Q1 – Q7
House →
Q1 – Q5
Aircraft Weapon →
Q1
Food Raw
Weapon Raw
House Raw
Aircraft Raw

Gold Asset
Gold is somehow a stock where we can buy each share for a price. To add Gold equivalent to GnuCash do this:
Go to Tools → Security Editor
Click Add
Enter Full Name: Gold
Enter Abbreviation as: 💰
Set Type as: Special
Click Ok.

Now create Currency Account in Assets:
When I am doing this transactions I have 3k Currency

So I will fill out new account like this:

on top of it you can see another tab called Opening Balance, I will add my current CC there:

Now click ok and there it adds 3000 to Assets and also Equity. If you double click on Currency it shows you an spreadsheet where its transfer has gone to Opening Balances.

Gold is a little bit tricky.
When we want to create its account we have to choose Stock As Account Type so first select Stock in Account Type when you create new account, and the value in Security/Currency will be gone.
Now fill in the account as you wish and then Select Currency and this menu will come up:
Beware to select Assets as Parent Account and click Ok.
Now double click on Gold.
Now enter your data like I did, Every transaction in Gold Must be done like this Shares as your Gold Amount and Price is Today's Price and Buy is Price * Shares.
You have to add the amount of Food, Weapon Houses like this too.

In the next article on accounting I will go through Assets, Food Consumption and Income and expenses transactions.

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