Hi
Entry -1 Asset purchase
Asset Dr (any other expenses incurred to bring the car to running condition, amount mention in car purchasing bill, any other charges should not included)
Vendor Cr
Entry -2 Any other expenses for the asset
Expenses Dr (like insurance)
cash Cr
Entry -3 Loan if want to maintain simply
Cash Dr (principal amount
Interest Dr (interest to be paid same year)
Provision for Interest Dr (interest amount to be paid next year)
Loan Cr (principal + interest)
Entry - 4 installment paid
Loan A/c Dr
cash Cr
Entry - 5 start of new year, transfer entry
Interest Dr
Provision for Interest Cr
Regards
Nakul