On March 1, 2016, LeBlanc, Inc. paid $60,000 for office rent covering the three-month period ending May 31, 2016. Journalize the adjusting entry on March 31 by using the alternative treatment of deferred expenses
What will be an ideal response
Prepaid Rent 40,000
Rent Expense 40,000 .Rent for the month of March = $60,000 / 3 = $20,000
Amount of prepaid rent by the end of March = $60,000 - $20,000 = $40,000
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A form is a business document that contains only predefined data; it is a passive document used solely for reading or viewing
Indicate whether the statement is true or false
Which of the following would not be classified as an analytical procedure?
A) benchmarking the company's profitability ratios against others in the industry B) preparing common size financial statements C) calculating income statement account balances as a percent of sales when the level of sales has changed from the prior year D) reconciling fixed asset dispositions with the fixed asset ledger