accounting?

Question

purchased Fixed asset on an account but capitalized? what is the entry?

Answer 1

Debit fixed assets and credit account payable or loan payable depending on the method used to extend credit for the purchase.

Answer 2

Assuming your plan is to depreciate it:

Buying:
Credit cash, debit a fixed asset account.
Depreciating:
Credit a fixed asset account called "accumulated depreciation" and debit an expense account called "depreciation expense"

This way you properly show the full value of the asset on your books. Accumulated depreciation is kind of a contra asset account. Obviously, the sum of the Fixed Asset and Accumulated Depreciation accounts represents the depreciated value of the asset purchased.