The purchase of property, plant, or equipment results in a debit to the asset section of the balance sheet. To record the entry, the company will debit the purchase account, and a credit entry will be recorded under accounts payable.When you first purchase new equipment, you need to debit the specific equipment (ie, asset) account. And, credit the account you pay for the asset from. All purchases were on credit. These purchases have not yet been recorded, so a consolidated journal entry will be required. 4. Consider all costs at time of acquisition or construction. Shall receive a credit in the amount thereof with respect to the Purchase Price. (b).