The adjusting entry to record accrued bond interest is reversed on the first day of the following period.

Name: The adjusting entry to record accrued bond interest is reversed on the first day of the following period.
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Accrued bond interest is an adjusting entry that is made to record interest that has been earned but not yet received or paid. This entry is typically reversed on the first day of the following period so that the interest expense is not overstated in that period.

The Adjusting Entry to Record Accrued Bond Interest Is Reversed