Purchased a vehicle for my business. I used funds from the start up as a partial payment, the rest took a loan from my bank. I’m trying to set this up using Quickbooks. How does this entry go on the assets side? Vehicle was 25000, 7000 was paid upfront, 18000 from the loan.
Balance Sheet Question
Answers
The entry would be:
Vehicle A/C...Dr (it's an asset coming into your business) 25,000
To Cash/Bank A/C...Cr (cause you paid cash) 7,000
To Bank Loan A/C...Cr (the rest portion where you paid using a loan) 18,000
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Accounting