Re: Purchased a competitor's business. Under which account do I record the purchase?
That will depend on 2 key things -
Who exactly is doing the buying. It could be your existing business, but it also might be the owner(s) of the existing business. If its anyone other than the existing business then there may be no entries - or they will be different than you expect.
What was purchased - exactly . It could be the 'company/business' which includes 'everything', or it might be an asset purchase of specified things. Either way the purchase probably includes some important 'intangibles' that need to recorded.