Quiz 02.45 – End-of-Period Adjusting Entry for Prepaid Rent
Intermediate Accounting
Spiceland, Nelson, and Thomas
10th Edition
What is the significance of a tenant’s end-of-period adjusting entry that credits the “Prepaid rent” account?
What is the significance of a tenant’s end-of-period adjusting entry that credits the “Prepaid rent” account?
What is the adjusting entry required to record accrued expenses?
What adjusting entry should ILP Services make at their December 31, 2021 year-end for the three-year insurance policy purchased on September 1, 2021?
What is NOT included in permanent accounts?
How are expenses treated when converting an income statement from a cash basis to an accrual basis?
What is a common mistake when converting an income statement from a cash basis to an accrual basis?
How is cash received for services treated when converting an income statement from a cash basis to an accrual basis?
Match the given phrases with their corresponding terminologies, prepayments, perpetual system, etc…
Match the given phrases with their corresponding terminologies, unadjusted trial balance, accrued receivables, etc…
In column A, identify whether a debit will increase or decrease the account balance. In column B, classify each account according to the provided scheme. If the account is a contra account, indicate the classification of the account to which it relates.