Recolonization of interest income

mohit pathak (Learner) (396 Points)

27 August 2018  

HI!

When should we recognize interest income on loans in the books of accounts? Last day of the month to which interest belongs or 1st day of the month following the month to which interest belongs? e.g. if Interest belongs to April month option 1 on 30th April option 2 on 1st May.