Start networking and exchanging professional insights

Register now or log in to join your professional community.

Follow

Mr. A given loan for Mr. B ?? What entry in journal

user-image
Question added by Bhavesh Shrimali
Date Posted: 2018/11/17
Kokab Rahman
by Kokab Rahman , CEO , Radeya Global

Assuming Mr. B is a business that received a loan from Mr. A, a bank.

Mr. B would record the receipt of loan as a debit to cash and a credit to loans payable.

For Mr. A (the bank), the loan is an asset (receivable), recorded with a debit to a receivable account and a credit to cash.

More Questions Like This