A rental agency collects rent in advance. Why is the rent collected treated as a liability?

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Financial Reporting and Analysis Using Financial Accounting Information

ISBN: 978-1439080603

12th Edition

Authors: Charles H Gibson

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Question Posted: Jun 22, 2012 08:58 AM

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A rental agency collects rent in advance. Why is the rent collected treated as a liability?

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The rent is treated as a liability because it is re...View the full answer

Financial Reporting and Analysis Using Financial Accounting Information

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