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Debit Accrued Interest Expense

Credit Accrued Interest Payable

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Debit Accrued Interest Expense

Credit Accrued Interest Payable

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Debit- Interest income

Credit- accrued interest, but uncollected

If ALLL accounts for accrued interest, for prior periods you can debit the ALLL, credit accrued interest, but uncollected.

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debit interest expense, credit interest payable for the accrued amount

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Accrued interest is obtained when the payment is received to the borrower. When the payment is received, interest is then realized and deposited into your account.

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[Debit] Accrued interest income

[Credit] Notes payable

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