accountingmajor
Jun 5, 2008, 02:16 AM
Hello: I am new to this site. I am coming across some difficulty with my assignment. If someone can please help me:confused:
1. On may 1st, there was a rent payment for may and June for 4500.
THEN
2. I have an adjusting entry for a $1000 of unearned rent.
Here is the confusing part to me. I know I would have to first put an entry for
DR Prepaid Rent 4500
Cr Cash 4500
And an adjusting entry for
DR Rent Expense 2250
CR Prepaid Rent 2250...
BUT NOW, what do I do with the other adjusting entry for the unearned rent of 1000...
PLEASE CAN SOMEONE HELP ME OUT..
1. On may 1st, there was a rent payment for may and June for 4500.
THEN
2. I have an adjusting entry for a $1000 of unearned rent.
Here is the confusing part to me. I know I would have to first put an entry for
DR Prepaid Rent 4500
Cr Cash 4500
And an adjusting entry for
DR Rent Expense 2250
CR Prepaid Rent 2250...
BUT NOW, what do I do with the other adjusting entry for the unearned rent of 1000...
PLEASE CAN SOMEONE HELP ME OUT..