journal entry for accrued interest if reinvested

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CA Abhishek Singh (Querist)
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19 January 2011 ABC CO-OP HOUSING SOCIETY collected Rs.50000/- as sinking fund. this amt is credited to sinking fund reserve a/c.
as per rules this amount should be invested.

company has invested Rs.50000/- in bank FD for 6 month on 01/01/2010. on 31st march suppose accrued interest is Rs.500/-. what will be the accounting entry on 31st march.

C.A.Javid Patel

C.A.Javid Patel (Expert)
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25 January 2011 The entry will be

Accrued Interest on FD a/c Dr. 500
to Interest received a/c 500

Accrued interest under the head Other current assets and Interest received in the head indirect income.