How do I record a loan for the purchase of a capital asset with a trade-in?
A. A loan for capital assets with a trade is recorded as a withdrawal entry for zero dollars. The first line of the entry is a Capital Asset purchase (C+). Select the capital asset class and enter the details of the purchase including original cost. The second line is a Capital Asset sale (C-). Pick the class, the capital asset traded and the dollar value received for the trade. The last step is a loan addition (L+) for the amount financed.
Related Questions
- In failing to disclose National Capital Solutions’ purchase price, is there any kind of loan fraud in connection with the end buyer’s ("C") lender?
- Why can I record a Capital Asset Purchase (C+) or Sale (C-), a Receivable Payment (RP) or a Payable Payment (PP) in a new year?
- How do I record a loan for the purchase of a capital asset with a trade-in?
