Accounting Equation g. - On October 1, 2009, the business paid $3,000 in advance for 6 months of rent on its facilities. The transaction was recorded with a debit of $3,000 to Prepaid Rent. An adjustment is needed for the year ended December 31, 2009. Assets Liabilities Equity Prepaid Rent -1,500 %3D Rent Expense -1,500 Show me how to do this step:
Accounting Equation g. - On October 1, 2009, the business paid $3,000 in advance for 6 months of rent on its facilities. The transaction was recorded with a debit of $3,000 to Prepaid Rent. An adjustment is needed for the year ended December 31, 2009. Assets Liabilities Equity Prepaid Rent -1,500 %3D Rent Expense -1,500 Show me how to do this step:
Century 21 Accounting General Journal
11th Edition
ISBN:9781337680059
Author:Gilbertson
Publisher:Gilbertson
Chapter21: Accounting For Accruals, Deferrals, And Reversing Entries
Section: Chapter Questions
Problem 2AP
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This software told me it’s incorrect but didn’t tell me the calculations to do it correctly so I can learn. Can someone please help me
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Step 1 Introduction
The adjustment entries are prepared to adjust the revenue and expenses of the current period.
The accounting equation states that assets equals to sum of liabilities and shareholders equity.
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