general accounting - posting entries for an auto purchase


Purchased auto - decided to include it as a creation in the "property" category; so when i post the check payment should the account I charge be the newly created car account in the property section? - or when you create an asset as a property item do you just assign a dollar value to it


  • NotACPA
    NotACPA SuperUser ✭✭✭✭✭

    Your payment shouldn't impact the value of the asset (the car).

    Payments reduce the amount of the loan and increase the interest expense.

    Q user since February, 1990. DOS Version 4
    Now running Quicken Windows Subscription, Business & Personal
    Retired "Certified Information Systems Auditor" & Bank Audit VP

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