[lfnaren]

“interest of 4% is due every 6 months on April 1 and October 1 on total debt reported at De. 31 20×1 of 3,000,000”

Reconciliation from Net change in Fund Balance to net assets reported on gov.wide stmt of Activities

the answer for accrued interest is

Prior year accrue:

Bal @ 20×1 3000,000

* 4%

accrue period 4 month: divide 4

then get a Plus 30,000

Current year accrue:

Balance @ 20×2 3000,000-100,000

*4%

divide 4

then get a Minus2900

I don’t get how the 4 month accrue is used in this calculation….

Does anyone can help me with this???

Thank you very much!!!