Hello All!
My question is how to enter a note payable into QuickBooks. A company entered into a promissory note on 12/1/15. They promise to pay back $561,000 by 2024 or 7 days after demanded by other company. They pay annual interest of 1.5% per annum. There is not any deposit or money down but I still need to show the note payable on the balance sheet as of 12/1. I would assume I need to create a long term liability and credit the liability for $561,000. What account do I debit to offset the liability and have the books balance? Thank you!!
My question is how to enter a note payable into QuickBooks. A company entered into a promissory note on 12/1/15. They promise to pay back $561,000 by 2024 or 7 days after demanded by other company. They pay annual interest of 1.5% per annum. There is not any deposit or money down but I still need to show the note payable on the balance sheet as of 12/1. I would assume I need to create a long term liability and credit the liability for $561,000. What account do I debit to offset the liability and have the books balance? Thank you!!