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Interest/Rebate calculation

Accountancy

Should we calculate interest/rebate of a bill with respect to it's "expiry/due date" or "date of maturity of bill"?As we know date of maturity of bill includes Grace days.Thank you

Screenshot_2022-01-25-09-38-37-52_e2d5b3f32b79de1d45acd1fad96fbb0f.jpg

Screenshot_2022-01-25-09-38-47-53_e2d5b3f32b79de1d45acd1fad96fbb0f.jpg

Abishek M

Abishek M

CA Final

★ 11K+

25-Jan-22 09:39

602

Answers (3)

Best Answer

Here expiry date includes the last day of grace period so you take 3 days of grace in calculation of interest. For example a bill drawn on 1jan. and term of expiry is 7 days then we calculate int. of 10 days 3 days of grace

Jaswant Vyas

Jaswant Vyas

CA Foundation

★ 325

27-Jan-22 00:35

we should calculate interest on expiry date....................

Bala Chandar

Bala Chandar

CA Final

★ 5K+

25-Jan-22 16:26

I think soo

Jaswant Vyas

Jaswant Vyas

CA Foundation

★ 325

27-Jan-22 00:35

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