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Prepaid rent received is money "your company" has "received" from a customer to pay rent for "x" amount of time, or prepaid.
Prepaid Rent Received is actually an "income" or "revenue" if you are renting out a building, home, apartment, whatever.
This is just the opposite of Prepaid Rent that is used in the expense. Instead of paying rent, you are receiving it.
Say you own a house you are renting out and the tenant decides to pay 6 months rent in advance, you get the money, but it is recorded as a prepaid rent received, as you now still owe him the full six months rent, you are now obligated to the tenant for the next six months and therefor prepaid rent received (similar to unearned revenue) is a liability for you until the rent is used up.
What else can I help you with?
How do you enter rent received and rent receivable in accounts?
Journal Entry for Rent Received:[Debit] Rent Received[Credit] Cash/bankJournal entry for rent receivable[Debit] Accounts Receivable[Credit] Rent Receivable
What is journal entry for rend received?
[Debit] CashCredit Rent Received / Rent Revenue
What is the journal entry when payment is received for rent?
Rent Received Account Dr To Cash/ Bank
How do you book advance rent with current Invoice?
Party A/c Dr. To Adv. Rent Received To Rent Received To Output Service Tax
Where does rent received go on the trading profit and loss account?
Rent received goes under income.
What is unearned rent?
It is the rent which u have received in advance. . . . It is a liability for you. . . .got it. . . . . . !
How do you treat Rent Received in Advance as a landlord?
Any rent received is just that: payment for the right to live in a rental unit. Advanced rent basically means the tenant has paid X amount of dollars for his rent. If this amount exceeds the month's rent then the extra amount is applied towards future month's rent up to the amount received.
What is prepaid rent receive?
Prepaid rent received is money "your company" has "received" from a customer to pay rent for "x" amount of time, or prepaid.Prepaid Rent Received is actually an "income" or "revenue" if you are renting out a building, home, apartment, whatever.This is just the opposite of Prepaid Rent that is used in the expense. Instead of paying rent, you are receiving it.Say you own a house you are renting out and the tenant decides to pay 6 months rent in advance, you get the money, but it is recorded as a prepaid rent received, as you now still owe him the full six months rent, you are now obligated to the tenant for the next six months and therefor prepaid rent received (similar to unearned revenue) is a liability for you until the rent is used up.
Is rent a capital or revenue expenditure?
Rent received or paid both are revenue expenditures as it is to be received or paid at every month time.
What are examples of revenue income?
sales rent received commission received
Journal entry for rent received in advance?
Cash A/C Dr To Rent Received in Advance A/C
What is the journal entry to give a car for rent?
No entry for giving car on rent rather entry is recorded when rent is received from customer.
