We received financing for equipment purchases. Due to exchange rates, the funding we recevied was greater than what was necessary to fund the purchases. The total was 25,000.00, and we were refunded the overage. When creating the entries, I have the following:
Accounts Payable DR 10,000.00 Company A
Notes Payable CR 10,000.00
Accounts Payable DR 10,000.00 Company B
Notes Payble CR 10,000.00
Where should I DR the 5,000 overage? The CR would obviously go to the NP.