Loan is type of debit.
It includes loan given to different persons, Advances against purchase of goods and various expenses by the company etc.
Loan means money in advance to buyers (borrower).
When we gives money to a Borrower and agree to return the money with interests at a due date in the future. Legally, loan is the contract between two parties e.g (Borrower and lender). A loan is repayment of monthly equally installments in a fixed time.
TYPES OF LOAN:
Secured Loans
If any company gives security for the loan by a mortage or charge on all or any of its property, the loan will be called as "Secured Loan". In the balance sheet of a company. There are shown in the following orders.
Debentures. The Following information is necessary in relation to debentures:
Terms of redemption or conversion of debentures and its earlier date.
Details of debentures which are redeemed by the company and the company had the right to issue them.
If the company gives security for any loan, by a mortage or charge on debentures details of the same which should be given along with related loan.
Redeemed debentures which are not paid of up the date of balance sheet, should be shown under current 'libalities' only.
Loan and Advances from bank.
Loans and Advances from subsidiaries.
Other Loans and advances, if any.
Information regarding nature of security given for each secured loan should be given along with the respective loans. Interest accrued and due on secured loans should be shown along with the appropriate items. But interest accrued but not due will be shown under currentt liabilities. Loans from directories or managers, if any, are to be shown separately.
Unsecured Loans
If the company borrows loans without giving any security, these loans are called unsecured loans. The loans which are unsigned generally include the following:
Fixed deposite
Loans and Advances from subsidiaries
Short Term loans and advances from banks.
Short Term loans ans advances from banks.
Other loans and advances from banks.
Other loans and advances from others.
Short-term loans are those loans which are due to for repayment within a period of one year from the date of the balance sheet.
Like Secured loans, interest accrued and due on unsecured loans in to be included under the appropriate sub - headings.
It includes loan given to different persons, Advances against purchase of goods and various expenses by the company etc. 
If any company gives security for the loan by a mortage or charge on all or any of its property, the loan will be called as "Secured Loan". In the balance sheet of a company. There are shown in the following orders.
If the company borrows loans without giving any security, these loans are called unsecured loans. The loans which are unsigned generally include the following: