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A debit to equipment and a credit to liability
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∙ 11y ago
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How is a purchase made on credit?
If you are having creditworthiness in the market, the seller will offer you credit against your purchase. The period of credit depends on volume of purchase and your worthiness. The same principle is applied to company to company transactions.
How much is a two percent purchase on a credit card?
It will depend on how much your credit limit is. For example, if your credit card limit is $500, a two percent purchase on your credit card would be $10.00
Where to purchase a good credit score from someone?
You cannot purchase your personal credit record from someone else. It is your credit history that has been reported by your creditors to the central credit data gathering agencies. It's like asking, "Where can I purchase a good dental record?"
How important is credit to the growth of a business?
For most businesses, credit is very important and provides the following benefits (but is not limited to the following): * Allows for reduced capital due to carry of payables * Provides for purchase of equipment that may not have been possible without credit * Provides for the development of a business credit history, important as the organization goes beyond baby steps
What action did farmers take when they bought equipment on credit and were unable to pay their loans?
They sold equipment
The purchase of equipment on credit is recorded by?
Debit to Equipment and a credit to Accounts Payable
The purchase of a typewriter on an account would be recorded as a debit on accounts payable and credit to office equipment True or False?
false
When is CGS recorded at credit side?
when the goods are sold , then the cost of goods sold is recorded at the credit side of the purchase ledger
What is the journal entry for a purchase of equipment when you want to charge half of the cost to the tenant?
[Debit] Equipment [Credit] Cash / bank (half) [Credit] Tenant
What is the format for purchase day book?
For a purchase day book you need invoices.A purchase day book records only the credit transactions.However, credit purchases of fixed assets are not recorded here.
Where must one go to apply for a store credit card to purchase John Deere equipment?
To apply for a store credit card to purchase John Deere equipment, go to the Deere website. On the website you can go to the FAQ section to find where to apply for a credit card or contact the company.
How can I accept credit cards?
In order to accept credit cards you need to have a credit card system built in. You have to purchase the proper equipment and sign up for service.
What types of events make the equipment account go up Are these debits or credits to equipment?
The purchase or receipt of equipment make the equipment (ASSET) account go up. The entry is a debit to equipment and a credit to cash or accounts payable.
Difference between purchase day book and sales day book?
The purchase day book is the book of original entry in respect of credit purchase, including both invoices and credit notes. This is the book where credit purchase transactions are recorded. Like Sales day book, purchase day book also maintain in a manual accounting system.
What purchase of supplies on account is recorded in the?
The amount which is paid on account(credit) should be recorded in a liability account i believe while record the purchased supplies in the asset.
What is a purchase day book?
A purchase day book shows all the entries related to purchases made during a day, it is the primary book of records, at the same time purchase return entry are also recorded in this book.Purchase day book records all the credit purchases of business for any given day and no other entry is recorded.
What is the Journal entry for gain on sale of equipment?
debit accumulated depreciationdebit cashcredit assetcredit gain on sale of assetDebit to Cash (or Accounts Receivable) for the sale Price. Debit to Accumulated Depreciation for the total amount of depreciation charged against that piece of equipment since its original purchase date. Credit to Equipment account for the original purchase price. Credit to Gain on Sale of Fixed Asset (or Other Income) for the difference needed to balance the entry.
