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View Full Version : Journal entries made loan payment


Jessmorris93
Apr 17, 2012, 11:37 AM
How do I enter this as a journal entry? This is for my accounting class..

Dec 10th. Made a loan payment of $5,000. The payment reduced the long term note liability by $4,200 and included $800 of interest.

pready
Apr 18, 2012, 06:43 AM
Debit Notes Payable for 4,200
Debit Interest Expense for 800
Credit Cash for 5,000