Yes
For example, a company might pay $500 a month in interest on a business loan while earning $45 in interest in the same time period in a business savings account. The total amount of net interest expense for that month would be $455. “ The net interest expense was a key metric to analyze as the company lends money as well as leveraging itself. DEFINITION of 'Interest Expense'. The cost incurred by an entity for borrowed funds. Interest expense is a non-operating expense shown on the income statement. It represents interest payable on any type of borrowings – bonds, loans, convertible debt or lines of credit. It is basically calculated as the interest rate times the outstanding principal amount of the debt. Interest expense on the income statement represents interest accrued during the period covered by the financial statements, and not the amount of interest actually paid over that period.  DEFINITION of 'Net Interest Income'. The difference between the revenue that is generated from a bank's assets and the expenses associated with paying out its liabilities. The net interest income of some banks is more sensitive to changes in interest rates than others. This can vary according to several factors, such as the type of assets and liabilities that are held. Answers. Best Answer: An example of interest expense vs. interest paid would be when a bond sells at a rate different from it's coupon rate (i.e. it sells at a premium or a discount). Example: $1,000 10 year bond with a coupon of 5%, when the market rate for such a bond is 8%.  Interest Expense. Since the net profit or loss reported on your company’s cash flow statement already accounts for the interest expenses your business paid during a given period, the amount paid will not appear as a separate line item on your company’s cash flow statement.  Interest payments on that debt represent a large and rapidly growing expense of the federal government. CBO’s baseline shows net interest payments more than tripling under current law, climbing from $231 billion in 2014, or 1.3 percent of GDP, to $799 billion in 2024, or 3.0 percent of GDP—the highest ratio since 1996.  a. A. Net interest payments on the US federal debt play such a prominent role in the Congressional Budget Office's (CBO) Budget and Economic Outlook: Fiscal Years 2010-2020 that a graph of the series illustrates the publication's front cover. How can it be that the government reports positive interest payments while its creditors claim to have lost money? It turns out that net interest payments on the federal debt as reported by the Treasury, National Income and Product Accounts, and CBO is a flawed measure of government borrowing costs. A typical bank's assets consist of all forms of personal and commercial loans, mortgages and securities. The liabilities are, of course, the customer deposits. The excess revenue that is generated from the spread between interest paid out on deposits and interest earned on assets is the net interest income. The net interest income of some banks is more sensitive to changes in interest rates than others. This can vary according to several factors, such as the type of assets and liabilities that are held. net interest expense. The total amount of interest paid by a business on funds it has borrowed less the amount of income earned in interest on amounts it has lent out or invested. “ The net interest expense was a key metric to analyze as the company lends money as well as leveraging itself. Investment interest expense is only deductible up to the amount. of your net investment income. Generally, this includes taxable. interest, nonqualifying dividends (as discussed below) and net short-term capital gains (but not net long-term capital gains). deducted in a later year, to the extent that there is adequate net. investment income. For 2012, qualified dividend income that is eligible for the 15% (15%. or 20% for 2013 and forward) preferential tax rate is not treated as investment income for purposes of the investment interest expense limitation.
http://www.investorwords.com/19143/net_interest_expense.html http://www.investopedia.com/terms/i/interestexpense.asp http://www.investopedia.com/terms/n/net-interest-income.asp https://answers.yahoo.com/question/index?qid=20120423182242AAgPLOo http://smallbusiness.chron.com/interest-expenses-affect-cash-flow-statements-65103.html https://www.cbo.gov/publication/45684 http://voxeu.org/article/net-interest-payments-federal-debt-flawed-measure http://www.investopedia.com/terms/n/net-interest-income.asp http://www.investorwords.com/19143/net_interest_expense.html http://www.eisneramper.com/uploadedFiles/Resource_Center/Articles/Articles/Tax-Guide-Interest-Expense-ch12-13.pdf
is net interest expense the same as interest payments