Login

Search the forums now!

Welcome, Guest. Please login or register.

April 26, 2026, 01:05:20 am
Pages: [1]   Go Down

Author Topic: prepaid rent  (Read 941 times)  Share 

0 Members and 1 Guest are viewing this topic.

sam0001

  • Victorian
  • Forum Obsessive
  • ***
  • Posts: 208
  • Respect: 0
prepaid rent
« on: November 11, 2011, 08:42:34 am »
0
Michael signed a contract with a local gardening business, allowing the buesiness to rent a section of his storage yard. the agreemnet stated the business the pai rent in advamnce for 3 months. rent is $1000 per month. Rent is recieved on 1 september and 1 dec.

finanical reports are made on 31 dec.

do i expense for one month or for four??

Please Help!
Logged

bopper69

  • Victorian
  • Fresh Poster
  • *
  • Posts: 4
  • Respect: 0
  • School: Gilson College
Re: prepaid rent
« Reply #1 on: November 11, 2011, 08:47:29 am »
0
If financial reports are only made on the 31 Dec, then 4.
Logged

sam0001

  • Victorian
  • Forum Obsessive
  • ***
  • Posts: 208
  • Respect: 0
Re: prepaid rent
« Reply #2 on: November 11, 2011, 08:49:42 am »
0
yeah, the answers say 1. but i thought it was four.
thanks!!!
Logged

MaddehZ

  • Victorian
  • Trendsetter
  • **
  • Posts: 135
  • cut like diamondz
  • Respect: +4
Re: prepaid rent
« Reply #3 on: November 11, 2011, 09:54:23 am »
0
its 1 because you've received it 3 months in advance

so receive on 1st of sept


sep oct nov 'expensed' in dec

thus, only 1 month
Logged
sausage massage
Pages: [1]   Go Up