what is pripaid expences nd difference bteween pripaid and
advance

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what is pripaid expences nd difference bteween pripaid and advance..

Answer / h.r. sreepada bhagi

Certain expenses are paid in an accounting period prior to
which the expense actually relates & these are called
Prepaid Expenses. For example, payment towards Annual
Maintenance Contract (AMC) paid during the middle of a year
for 1 year. The portion which relates to the next year is
prepaid expense.

Where as advance may be for anything like advance for supply
of goods, assets, services, etc, including expenses. Both
are coming under Current Assets, Loans & Advances in the
Balance Sheet.
In short, all prepaid expenses are advances, but all
advances need not be pre-paid expenses.

Is This Answer Correct ?    33 Yes 3 No

what is pripaid expences nd difference bteween pripaid and advance..

Answer / thasleem ali

prepaid expenses are the expense which paid in advance for the upcoming expenses also

eg.rent paid,electricity and water paid


Advance will be treated as expense when it pay, and it will become income when it get refund.

eg.salary advance,short term loan etc

advance coming under loans and advance

Prepaid expense comes under expense

Is This Answer Correct ?    2 Yes 7 No

what is pripaid expences nd difference bteween pripaid and advance..

Answer / mahender nath goswami

the prepaid exp. are those which are being exp. ain advance
and we get the benefits from that in the future , the
advance and prepaid exp. are same there is no difference
between both of them

Is This Answer Correct ?    3 Yes 12 No

what is pripaid expences nd difference bteween pripaid and advance..

Answer / sachin

prepaid expences is a expence which made for feature payment of expences .there is no difference between perpaid or advance.....

Is This Answer Correct ?    4 Yes 16 No

what is pripaid expences nd difference bteween pripaid and advance..

Answer / vikram yadav

prepaid expences are those ,witch paid in advance . there
is no differenc between prepaid and advance

Is This Answer Correct ?    5 Yes 18 No

what is pripaid expences nd difference bteween pripaid and advance..

Answer / kamal rangra

Any payments we are making in advance are the Pre-paid
expences.

Ex:- Rent in advance, Policy premium, etc.

Therefore, there is no difference between Prepaid Expences
and payment made in advance.

Is This Answer Correct ?    1 Yes 16 No

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