Accountancy, asked by poorvi200457, 1 year ago

what is the entry for interest due on bank overdraft 2,000 in double column cash book​

Answers

Answered by Anonymous
2

Answer:

Interest A/c Dr. 2000

To cash A/c. 2000

Explanation:

Since interest is due to bank by us so we have to pay it and it takes the form of nominal account which says "All expense debit and all incomes credit" so here interest is an expense and cash is going out so it will be credited

Do let me know if any query

@ACR

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