To record prepaid rent, you’ll use a simple journal entry involving two accounts: Prepaid Rent (Debit) and either Cash (Credit) or Rent Payable (Credit).
To record rent expense, you'll use a simple journal entry involving two accounts: Rent Expense (Debit) and either Cash (Credit) or Rent Payable (Credit).
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Confused about how to record water bills, especially when they arrive late? This post explains accrued water expenses and provides step-by-step guidance for accountants.