by Andrea
(Manitoba)
How do I record an asset paid for in installments and financed by a lender?
New to Quickbooks and double entry accounting. I understand most of the program, but have a question re journal entries.
We commissioned a boat to be built for our business. The initial down-payment and all subsequent payments were paid directly from our financier to the builder. I assume I am to make journal entries for the amounts disbursed. How exactly do I enter these ... on the first line of the JE would I show a credit to the financier account (less GST), under memo that it is a down-payment, under name ???. On the second line would I show a debit to the fixed asset account, same memo, under name the boat builder?.
What about the GST? How do I enter that? I have a GST/HST account, a Receiver General account, but the GST was paid by the financier and becomes part of our long-term liability.
Any help would be appreciated.
Comments for Loan Proceeds Not Deposited To Bank
|
||
|
||
|
||
|
||
|
||
|
||
Use the search feature to quickly find the
information you're looking for.
Click on image above to read the chat.
Join Me On Facebook
Help support this site by "liking" me! Here's where I post current information.
Listed Under Websites NOT Local Business.
This website is NOT associated with the business operating in Bonnyville AB.