Question

what is treatment of loan given in trial balance into final accounts​

Answer 1

Answer:

When recording periodic loan payments, first apply the payment toward interest expense and then debit the remaining amount to the loan account to reduce your outstanding balance. The cash account will be credited to record the cash payment.

Answer 2

When recording periodic loan payments, first apply the payment toward interest expense and then debit the remaining amount to the loan account to reduce your outstanding balance. The cash account will be credited to record the cash payment.