general accounting - posting entries for an auto purchase

Joe Mineart

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

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

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