Accrued Revenue ...

You are the CFO of Toon Traders who report monthly and you notice that you have excess liquidity ... so you decide, on 1st January 2017, to invest $60000 cash into a high interest account for 3 months at an annual rate of 10%.  At the end of 3 months, 7th March 2017, you will receive the $60000 plus the interest.

You work out that interest per month is $500.

At the end of January, balance day, you need to do a balance day adjustment to count the $500 interest revenue since you have not received the interest ... in fact you will not receive any interest until 7th July 2017 as per your agreement with the Bank.

General Journal:

Dr:  Accrued interest revenue $500
Cr:  Interest revenue $500

Accrued interest revenue sounds like revenue ... but it is not!  It is a current asset because it represents a benefit that the business will receive within 12 months ... sort of like debtors without the stock!

Reports at end of January:
Cash Flow Statement
no impact ... no interest has been received yet.

Income Statement
Other Revenue
Interest revenue $500

Balance Sheet
Current Assets
Accrued interest revenue $500

Another month passes ... end of February ... another balance day.

Dr:  Accrued interest revenue $500
Cr:  Interest revenue $500

Reports at end of February:
Cash Flow Statement
no impact ... no interest has been received yet.

Income Statement
Other Revenue
Interest revenue $500

Balance Sheet
Current Assets
Accrued interest revenue $1000

Another month passes ... end of March ... another balance day.

Dr:  Accrued interest revenue $500
Cr:  Interest revenue $500

Reports at end of March:
Cash Flow Statement
no impact ... no interest has been received yet.

Income Statement
Other Revenue
Interest revenue $500

Balance Sheet
Current Assets
Accrued interest revenue $1500

Now, on 7th March, as per the original agreement with the Bank, the business receives the $60000 plus the interest of $1500, a total of $61500.

This would be recorded in the Cash Receipts Journal:
$61500 would be allocated $60000 investment (sundry) and $1500 accrued interest revenue (sundry).

At the end of March, the CRJ would be posted:

Dr:  Bank $61500
Cr:  Investment $60000 (that cancels that account)
Cr:  Accrued interest $1500 (that cancels that account)

Reports at end of April:
Cash Flow Statement

Operating Activities
Accrued interest revenue $1500
Investment $60000