Certificate of Deposit Purchase

[SheilahH]

The church has purchased a CD to use as collateral for a line of credit from the bank. How to I enter this purchase? I know it is probably very simple, I just have never encountered this before. Thanks so much.

Sheilah

[Zorak]

If you have set up the CD as an asset account already, you should be able to credit the checking account (or savings, wherever the money came from to purchase the CD) and debit the new CD asset.