BANKING AFFAIRS

Detailed explanation-1: -In accounting, accrued interest refers to the amount of interest that has been incurred, as of a specific date, on a loan or other financial obligation but has not yet been paid out. Accrued interest can either be in the form of accrued interest revenue, for the lender, or accrued interest expense, for the borrower.

Detailed explanation-2: -Accrued interest is an example of an accrued expense (or accrued liability) that is owed but not yet paid for (or received). Accrued expenses are recorded as liabilities on the balance sheet.

Detailed explanation-3: -Accrued interest is unpaid interest related to credit cards, loans, investments, savings and beyond. When it comes to personal finance, accrued interest can be owed or earned. Accrued interest on a loan or credit card adds to how much a borrower owes. Accrued interest on a savings account or an investment earns income.

Detailed explanation-4: -An example of accrued interest is bond interest and loan interest, which are recognized before the actual payment is made.

Detailed explanation-5: -Accrued interest is the amount of loan interest that has already occurred, but has not yet been paid by the borrower and not yet received by the lender.