Interested to Buy Any Domain ? << Click Here >> for more details...
Hello,
I am trying to record the journal entries for taking a loan
and refinancing it into two new loans. How would I show the
closing loan and the opening of two new loans?
Thank you for your help!
- 10 Answers
- 45673 Views
- I also Faced
- E-Mail Answers
Answer Posted / ankit
While Receiving Loan from Bank , Journal Entry Would be :
Bank Account Debit
Lender's Loan Account Credit
2. When Borrower is responsible for paying Interest on Loan
Interest Account Debit
Interest on Loan Payable Account Credit
3. When Borrower pays the interest to Lender
Interest on Loan Payable Account Debit
Bank Account Credit
4. When Borrower repays his loan.
(a) If there is no interest liability on loan.
Lender's Loan Account Debit
Bank Account Credit
(b) If there is any interest liability on loan
(i)
Interest on Loan Payable Account Debit
Lender's Loan Account Credit
(ii)
Lender's Loan Account Debit ( Principle + Payable Interest)
Bank Account Credit
| Is This Answer Correct ? | 0 Yes | 0 No |
Post New Answer View All Answers
WHAT IS LIMITED REVIEW? WHY IT IS REQUIRE?
What is Acquisition?
Breif notes about accounting standards
Dear sir i had been called for ntpc interview and gd next month..please guide me for it!
differences between liabilities and assessts
Explain howyou would account for the following items/situations,justifying answers by reference to the conceptual frameworks defintion and rcognition criteria. a)A trinket of sentimental value only b)You are the guarantor for your friends bank loan i) You have no reason to belive that your friend will default on the loan ii) As your friend is in serious financial dificulties,you think it is likely that he will default on the loan c)You receive 1000 shares in X Ltd,trading at $4 each,as a gift from a grateful client. d)The panoramic view of the coast from your cafes windows,which you are convinced attracts customers to your cafe
what salary you expect???
how to mention last year profit of ay private limited company in current year balance sheet ?
in a every intervew asking one common question why you are living current employer, which is the best answer
What Is Depreciation, and from which date do we charge Depreciation for an asset ?
in accounts welding institute which category will come for example 1. recruitment con.pvt ltd. is man power recruit category ,so iwant to welding institute (learning welding and fibrication)
Who is the maker of the promissory note
My BASIC Salary is 18,000
Telly ERP9 is perfect accounting softwear in excise unit.
is it possible that on dealer of work contract can opt composition and non-composition both scheme in dvat?
