Liability
It Depends:If you are the bank, then the loan is an asset because, the loan customer is going to repay you the loan amount with interest and you are going to earn an income from it.If you are the loan customer, then the loan is a liability because you are going to return the money along with interest to the bank that gave you the loan.
Yes payment of loan liability is your expense decreasing the liability as well as asset from which you are paying the loan liability.
It is a loan repayable. Hence it is a liability. As the liability is for more than one year, it is non current liability.
The only way that a bank loan can be an asset is if the loan is less than what the assett is worth. Otherwise I do not belive a bank loan can be an assett. Answer 1: A Bank loan is an asset for the bank because it is money that a customer will repay. Any instrument in which money will be received can be considered an asset. In case of a loan, it is an asset to the bank and a liability to the person who borrowed the money
Liability
Loan acquired to buy an asset is a liability of business so interest incurred on that loan is also part of that loan and that's why it is also the liability of business.
Bank loan is a liability for business not an asset for business.
It Depends:If you are the bank, then the loan is an asset because, the loan customer is going to repay you the loan amount with interest and you are going to earn an income from it.If you are the loan customer, then the loan is a liability because you are going to return the money along with interest to the bank that gave you the loan.
It Depends:If you are the bank, then the loan is an asset because, the loan customer is going to repay you the loan amount with interest and you are going to earn an income from it.If you are the loan customer, then the loan is a liability because you are going to return the money along with interest to the bank that gave you the loan.
Cash is added as asset and amount of loan is recored as a liability.
Yes payment of loan liability is your expense decreasing the liability as well as asset from which you are paying the loan liability.
It is a loan repayable. Hence it is a liability. As the liability is for more than one year, it is non current liability.
Loan stock is considered a liability in a corporate balance sheet. This is because it represents borrowed funds that need to be repaid by the company to the lenders. It does not represent ownership or equity in the company.
Yes, it is a current asset as part of the cash at bank. It also creates a liability for the amount of the loan.
The only way that a bank loan can be an asset is if the loan is less than what the assett is worth. Otherwise I do not belive a bank loan can be an assett. Answer 1: A Bank loan is an asset for the bank because it is money that a customer will repay. Any instrument in which money will be received can be considered an asset. In case of a loan, it is an asset to the bank and a liability to the person who borrowed the money
Asset - Liability = Net Asset / Liability * Net Asset - When Asset is more than Liability * Net Liability - When Liability is more than Asset