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Distinction between Interest and Capitalized Interest. Interest that is compensated could be the price of borrowing money. In accounting, there’s two types of paid interest: element and easy interest.

Distinction between Interest and Capitalized Interest. Interest that is compensated could be the price of borrowing money. In accounting, there’s two types of paid interest: element and easy interest. Capitalized interest is actually a type of element interest claimed in the stability sheet for business money expenses. This interest is part of a long-lasting loans. […]