A restaurant pays $48,000 on 1st June 2019 to rent a building for the next six months.
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Question:
A restaurant pays $48,000 on 1st June 2019 to rent a building for the next six months. The accountant recorded that amount as a rental expense. What would be the adjustment journal entries on 30th June 2019?
DR Rent Expense $40,000 CR Prepaid Rent $40,000 | ||
DR Rent Expense $8,000 CR Prepaid Rent $8,000 | ||
DR Prepaid Rent $40,000 CR Rent Expense $40,000 | ||
DR Prepaid Rent $8,000 CR Rent Expense $8,000 |
Expert Answer:
Correct Journal entry on June 1 2019 would be Date General Journal Debit Credit 01J... View the full answer
Related Book For 
Managing Supply Chain and Operations An Integrative Approach
ISBN: 978-0132832403
1st edition
Authors: Thomas Foster, Scott E. Sampson, Cynthia Wallin, Scott W Webb
Posted Date:
