After taking an introductory financial accounting class, I decided to use GnuCash to keep track of my personal finances. I have 5 major accounts in my general ledger:
- Currently only used to record opening balances for other accounts.
- Subaccounts for Bank, Cash, etc.
- Subaccounts for Credit Cards
- Sources of income, such as Salary and Gifts.
- Sources of expense, such as Groceries and Gas.
This worked out well for the past year. However, I've recently had to record the capital losses I made on a short-term forex trade, but I can't remember how to record this.
In particular, do I use two separate accounts as such:
- Income > Capital Gains
- Expenses > Capital Losses
Or just one Capital Gains (Losses) account where a negative balance indicates a capital loss?
if just a single account, would this account be under Equity or Assets?