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What is Accrued Interest

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(Querist)
18 March 2025 what is accrued interest and whether it can be adjusted with bank received on due date.
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Dhirajlal Rambhia

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Dhirajlal Rambhia (Expert)
21 March 2025 Accrued interest is the interest that has been incurred on a loan or financial investment but has not yet been paid. It represents the amount of interest that accumulates over time, typically calculated on a quarterly basis, and is recorded in accounting as an asset. he lender will make corresponding entries by debiting their cash account and crediting their interest receivable account. So the net interest received in final year gets added to accrued interest as on maturity.
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Dhirajlal Rambhia

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Dhirajlal Rambhia (Expert)
04 October 2025 Good luck...
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