The balance in the Prepaid Rent account before adjustment at the end of the year is $12,000, which represents 12 months rent paid on November 1. The adjusting entry required on December 31 to show the amount of rent that had expired is:
A.
| Rent Expense | $ | 12,000 | ||
| Cash | $ | 12,000 | ||
B.
| Rent Expense | $ | 2,000 | ||
| Prepaid Rent | $ | 2,000 | ||
C.
| Prepaid Rent | $ | 12,000 | ||
| Rent Expense | $ | 12,000 | ||
D.
| Rent Expense | $ | 1,000 | ||
| Prepaid Rent | $ | 1,000 | ||
Answer: B
You might also like to view...
Palmer Enterprises has a net marketing contribution of $60 million. Its general and administrative expenses and other operating expenses are $20 million and $15 million, respectively. Calculate its operating income
A) $95 million B) $75 million C) $45 million D) $40 million E) $25 million
The entry to record an estimated income tax payment would include a debit to Income Tax Expense
Indicate whether the statement is true or false
________ is a measure of the dispersion of random variable values about the expected value or mean
A) Standard deviation B) Sample mean C) Population mean D) Expected value
ACME, Inc is a software producer that entered into a verbal agreement with XYZ Corporation wherein XYZ agreed to buy ACME's newly developed software. The agreement also provided that ACME would supply training personnel, as well as technical personnel, to work with XYZ employees in installing and learning the software. What law governs this agreement?