Software: MoneyWorks accounting software Often we need to purchase equipment under hire purchase scheme. Assuming you purchased a photo copier at $15,000.00 under hire purchase for $750.00 monthly repayment for 24 months. To record the cost of fixed asset and the hire purchase liability you may pass a journal to:      Debit Office Equipment […]

Software: MoneyWorks accounting software When purchasing office equipment or machinery, business owner frequently use Hire Purchase to finance their purchases. There are multiple accounts involved in hire purchase transactions; there are fixed asset, Hire Purchase Creditor, Interest in Suspense and HP Interest expense accounts. Assuming you purchase a new Office Equipment at $20,000 and financed […]