The following are the financial transactions for an undisclosed medical center, a non profit organization, during January 1, 20X9 to December 31, 20X9. Record each transaction in the journal using the T-account provided (i.e., fill in the yellow part). Assume the clinic is on the accrual basis of accounting.

The Undisclosed Medical Center purchased medical equipment for $3,200,000 on 1/20/20X9. The medical center paid cash of $200,000 at the time of purchasing and take out a bank loan for the remaining with a 5-year payback period. The first repayment ($600,000) is due 12/31/20X9. Use following table and prepare a journal entry to record this transaction.

 

General Journals Date Description: Details Debit (Dr) Credit (Cr)