Question

Interest paid by bank for office use journal entry

Answer 1

Explanation:

When you take out a loan or line of credit, you owe interest. You must record the expense and owed interest in your books. To record the accrued interest over an accounting period, debit your Interest Expense account and credit your Accrued Interest Payable account. This increases your expense and payable accounts.

Answer 2

Answer:

expense account_______ dr

To cash account