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we will take it as a current asset
Prepaid rent A/c Dr To, Rent A/C
Yes, prepaid rent is accrued.
$15,000 x 1/3 = $5,000 On Dec. 31st, debit "Rent expense" to $5,000, and credit "Prepaid Rent" to $5,000.
prepaid rent a/c dr to rent a/c
Prepaid Rent is a Current-Asset account. Since it deals with "prepaid" it will expire on a regular basis and is not a "fixed" asset. Each month (or whatever terms the rent may be paid) the amount is removed from Prepaid-Rent and placed in Rent Expense.
[Debit] Prepaid Rent xxxx [Credit] Cash / bank xxxx
Prepaid rent is when you pay your rent ahead for a length of time, either as a deposit or as regular rent. Sometimes you can get a discount based on how much rent you pay ahead.
1. [Debit] Prepaid Rent xxxx [Credit] Cash xxxx
Prepaid rent is a rent paid in advance so it is current asset and it will have debit balance as normal balance.
Prepaid rent is an asset and represents and advance payment for a future benefit Rent expense is an expense and is the expended portion of the rent consumed.
Each location has their own "rules" regarding prepaid debit cards being used. Your best bet would be to call the branch you are looking to rent a car from and ask them.