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Asset purchased on personal credit card

ArulArul New MemberRegistered Posts: 8
Hello.

My client is a sole trader!

He has purchased new car for business but has paid for it on this personal credit card. The balance of the car is still outstanding but he can not confirm how much of the balance on the credit card relates to the car as he has used the card for other personal items.

My question is how would i bring this new business asset into his accounts shall I just debit - the vehicle ac and credit capital introduced.

thanks.

Comments

  • BluewednesdayBluewednesday Font Of All Knowledge Registered Posts: 1,624
    That is how I would treat it.

    Are you an MIP?
  • groundygroundy Trusted Regular Registered Posts: 495
    I would also allow for a percentage of any credit card interest depending on the balance and other items purchased on card.
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