Explain what is meant by credit. What is the function of interest

Credit is generally defined as an agreement between a lender and a borrower, who promises to repay the lender at a later date-generally with interest. In accounting, a credit may either decreases assets or increases liabilities and equity on a company's balance sheet.

Explanation:

ur welcome

Credit is generally defined as an agreement between a lender and a borrower, who promises to repay the lender at a later date-generally with interest. In accounting, a credit may either decreases assets or increases liabilities and equity on a company's balance sheet.