HI I THINK SO IT SHOULD LIKE THIS
DR asset(building+land)
CR bank
mortgage payable
as u don`t know that how one is going to sort out the payments
Quote:
Originally Posted by boolean
Can anyone help me with this transaction? Do not know how to record it in the general journal, i.e. what gets debited/credited (step-by-step).
A company purchased 1) a building for $3,200 and 2) land for $2,700 and paid for all of these 1) by cash in the amount of 4,100 and 2) by taking a 10-year mortgage in the amount of 1,800.
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