Loan: prepaid account-prepaid car purchase price 165000.

There are 25 thousand in the bank.

If the period is more than one year, we should consider the influence of time value. The money is actually financing, so the present value of the future cash flow should be regarded as the recorded value of the car, and the difference between the long-term payable and the present value should be regarded as unconfirmed financing expense, which should be amortized in the financial expense by the effective interest rate method.

kind

According to the number of accounts involved, accounting entries can be divided into simple entries and compound entries.

A simple entry refers to an accounting entry that only involves two accounts, that is, an accounting entry that borrows a loan.

A compound entry refers to an accounting entry involving two or more accounts (not including two).