Tenax Therapeutics' (TENX) CEO John Kelley on Q3 2015 Results-Earnings Call Transcript.
Debit the cost of the asset and credit the loan account with the capitalized interest. In the example, debit the asset cost and credit the loan account with $50,000. The asset cost available for depreciation at the end of Year One is therefore $1,050,000. Debit the interest expense account and credit the loan account with any interest paid in excess of the interest capitalized. For example, if the total interest paid in the first year was $75,000, debit the interest expense account and credit the loan account with $75,000 minus $50,000, or $25,000.
A signature-based debit card transaction is cheaper for retailers than a pin-based transaction, which occurs online. Credit card and signature-based debit card transactions are processed in similar manners. Signature-based debit card transactions can be processed over the phone and on the Internet. No pin number is required for these transactions. These transactions are convenient for people that donât have access to a credit card.