Journal entries are the part of basic accounting or primary accounting. In journal entries there are two aspects one is debit and another is credit. These two aspects are always equal. Journal entries are based on the ledger and trial balance . To Prepare: Journal entry of rent expenses on September 30 t h .

Question

A company receives rent for subletting part of its office block. Rent, receivable quarterly in advance, is received as follows: Date of receipt Period covered $ 1 October 20X1 3 months to 31 December 20X1 7,500 30 December 20X1 3 months to 31 March 20X2 7,500 4 April 20X2 3 months to 30 June 20X2 9,000 1 July 20X2 3 months to 30 September 20X2 9,000 1 October 20X2 3 months to 31 December 20X2 9,000 What figures, based on these receipts, should appear in the company's financial statements for the year ended 30 November 20X2?

Answer 1

Question

Chapter 4, Problem 4.6.3E

To determine

Concept Introduction:

Journal entries are the part of basic accounting or primary accounting. In journal entries there are two aspects one is debit and another is credit. These two aspects are always equal. Journal entries are based on the ledger and trial balance.

To Prepare: Journal entry of rent expenses on September 30^t^h.

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A company receives rent for subletting part of its office block. Rent, receivable quarterly in advance, is received as follows: Date of receipt Period covered $ 1 October 20X1 3 months to 31 December 20X1 7,500 30 December 20X1 3 months to 31 March 20X2 7,500 4 April 20X2 3 months to 30 June 20X2 9,000 1 July 20X2 3 months to 30 September 20X2 9,000 1 October 20X2 3 months to 31 December 20X2 9,000 What figures, based on these receipts, should appear in the company's financial statements for the year ended 30 November 20X2?

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