Mathematics, 30.09.2020 04:01 Bra1nPowers
On April 1 the ABC Inc. paid $20,400 to Acme Realty for 12 months Rent beginning May 1. The company did the correct recording on April 1. If financial statements are prepared on December 31st, what is the adjusting entry needed on the balance sheet?
Decrease PrePaid Rent 20,400 / Increase Rent Expense 20,400
Decrease PrePaid Rent 13,600 / Decrease Rent Expense 13,600
Decrease PrePaid Rent 13,600 / Increase Rent Expense 13,600
Decrease Cash 20,400 / Increase PrePaid Rent 20,400
Answers: 1
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On April 1 the ABC Inc. paid $20,400 to Acme Realty for 12 months Rent beginning May 1. The company...
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