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equipment is a long-term asset and assets increase with debits and decrease with credits. So if you buy equipment, you will debit equipment and credit cash if you bought it with cash. If you bought the equipment with a promise to pay (I was trying to avoid using the phrase "bought on credit" because it might make things confusing), you will credit Accounts Payable in liabilities because they increase with credit (basically the amount of money you are "liable" for just went up! Good news is that you have the equipment you needed/wanted)
In the end, Assets = Liabilities + Stock Holder's equity has to balance out!
What else can I help you with?
The purchase of equipment on credit is recorded by?
Debit to Equipment and a credit to Accounts Payable
Is equipment a debit or credit balance account?
equipment is a fixed asset.so it's a Debit balance account.
The balance of a furniture and equipment account a debit or credit?
It is a debit balance. Furniture and Equipment accounts are included in an individuals assets and asset accounts have debit values.
Is office equipment debit or credit?
it is a credit because more than likely the job is paying for it
Is office equipment a debit or credit?
it is a credit because more than likely the job is paying for it
What is the purchase of equipment on credit recorded by?
A debit to equipment and a credit to liability
The purchase of equipment on credit is recorded by?
Debit to Equipment and a credit to Accounts Payable
Is equipment a debit or credit balance account?
equipment is a fixed asset.so it's a Debit balance account.
Is computer equipment a debit or credit?
Computer equipment is an asset of business and that's why it has debit balance as a normal balance.
The balance of a furniture and equipment account a debit or credit?
It is a debit balance. Furniture and Equipment accounts are included in an individuals assets and asset accounts have debit values.
Is equipment a debit or credit?
it is a credit because more than likely the job is paying for it
Is office equipment a debit or credit?
it is a credit because more than likely the job is paying for it
Is office equipment debit or credit?
it is a credit because more than likely the job is paying for it
Is property and equipment credit or debit?
property and equipment should be debited if they increases because both are assets
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
Is prepaid insurance a debit or credit?
Debit
What is the Journal entry for loss on sale of equipment?
[Debit] Loss on sale of equipment xxxx [Credit] Asset account xxxx
