I got some loan from the bank and then bought some equipment. Bank paid the money directly to the vendor. how I record this transaction? Or I just recorded this transaction as the same way as I bought this equipment using my own money? Thanks
In lieu of a journal entry, could @sunshinesmile also use the Bank Depositfeature to create a liability loan account, and then make a separate asset account for "equipment," and deduct the asset totals from the original liability account?
Liability account -Loan ($ 500)
Asset account - Equipment ($0)
@sunshinesmile buys equipment item for $100, the item is added to the asset account and deducted from the loan total?