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Entering a capital purchase with a loan attached

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Hi there,

 

Our company bought excavation equipment using a loan of approximately $52000. Is someone able to step me through how to account for this? I'm aware I need to create a Capital account, a depreciation account that is somehow linked to this & then also a loan account that gets repaid monthly via our normal income account however I'm hazy on how/where/what.

 

Thanks in advance for any help.

 

 


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