On October 1, Vista View Company rented warehouse space to a tenant for $3900 per month. The tenant paid five months' rent in advance on that date, with the lease beginning immediately. The cash receipt was credited to the Unearned Rent account. The company's annual accounting period ends on December 31. The adjusting entry needed on December 31 is:
A. Debit Rent Receivable, $11,700; credit Rent Earned, $11,700.
B. Debit Unearned Rent, $7800; credit Rent Earned, $7800.
C. Debit Rent Receivable, $19,500; credit Rent Earned, $19,500.
D. Debit Unearned Rent, $19,500; credit Rent Earned, $19,500.
E. Debit Unearned Rent, $11,700; credit Rent Earned, $11,700.
Answer: E
You might also like to view...
Intentional misrepresentation occurs when a wrongdoer deceives another person out of money, property, or something else of value
Indicate whether the statement is true or false
Delores had invested in an individual retirement account (IRA) over the 25 years of her service and then invested the money from the IRA in government securities. The contributions that Delores had made to the account were not tax deductible at the time they were made, but she did not have to pay taxes on the distribution she received from the IRA on retirement. In this scenario, Delores had invested in a _____.
A. traditional IRA B. Roth IRA C. SIMPLE IRA D. SEP IRA
In general, the cost of comprehensive and collision insurance is the most expensive part of your automobile policy and represents about 60% of the cost
Indicate whether the statement is true or false.
Which of the following is a decision that would most likely require the consent of all partners:
a. changing the nature of the partnership's business b. admitting new partners c. selling the business d. all of the other specific choices are correct e. none of the other specific choices are correct