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    JDMJ1968's Avatar
    JDMJ1968 Posts: 2, Reputation: 1
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    #1

    Oct 14, 2006, 08:15 AM
    Adjustment for Interest Receivable
    I have entered the following information based on the assumption that I received the principal and interest payment due on a note receivable.
    Cash 6835
    Notes Receivable 6700
    Interest Revenue 135

    $113 in interest had already been accrued to Interest Receivable.
    Do I adjust this transaction by:
    Interest Receivable 21
    Interest Income 21

    Thanks for any help!
    Dan
    CaptainForest's Avatar
    CaptainForest Posts: 3,645, Reputation: 393
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    #2

    Oct 14, 2006, 11:55 PM
    I am a bit confused as to what you are saying.

    Here is what I THINK you are saying.

    You received a cheque for $6,835. Of that amount 6,700 was on principal and the other 135 for interest.

    However, you had already accrued 113 in interest revenue of that 135.

    If that is what you are saying….

    Dr. Cash 6835
    Cr. Notes Receivable 6700
    Cr. Interest Revenue 22
    Cr. Interest Receivable 113
    JDMJ1968's Avatar
    JDMJ1968 Posts: 2, Reputation: 1
    New Member
    		  
    #3

    Oct 16, 2006, 11:23 AM
    Thank you very much for your help!!
    Dan
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