When bonds are sold between interest dates,the amount of accrued interest collected should be credited to interest payable in the accounts of the issuing corporation.

Question

Quizplus · Accepted Answer

Accrued interest should always be credited to interest payable when bonds are sold between interest dates. This ensures that the accounting records accurately reflect the interest owed to bondholders.

When Bonds Are Sold Between Interest Dates,the Amount of Accrued