Answer / rupan

Prepaid expenses a/c Dr
To Expenses(Concerned Expense) a/c

Answer / kuldeep srivastava

prepaid exp. A/C DR
TO respective exp.A/C

Answer / manish sharma

Related Expense Dr.
To, Cash or bank or party
(On book/payment of entire exp)

Prepaid exp. Dr.
To, Related expense
(for portion which is not for current period)

Related expenses Dr.
To, Prepaid Exp.
(On the next Period when we start new book of accounts)

Answer / yasar arafath

Prepaid expenses a/c Dr
To Expenses(Concerned Expense) a/c

Answer / madhuri.a

Prepaid Expenses a/c Dr
To Cash a/c

Answer / mohammed mandlaywala

Initial Entry

Prepaid Expense A/c
To Bank A/c

Entry at the time of recognition

Expense A/c
To Prepaid Expense A/c

Explanation:
When an expense is paid in advance, the mercantile system
does not permit the recognition of the same in the P/L
Account. Hence its entry is similar to purchase of an asset.

In the year in which the actual expense is recognised
expense acount is debited and the prepaid expense A/c which
was an asset is now credited and removed from the books.

Answer / sheetal

prepaid expenses dr.
to cash\bank

Answer / vivek

prepaid exp a/c Dr (shown in the balance sheet assets side because pre exp are short term assets of business)


TO exp A/c(it deduct from the exp which is incurred in future)


====the effect of this entry is 1.when we deduct the pre exp in p&loss a/c it increase the profit of business
2.when we show it in balance sheet the assets of business is increased
so this entry make effect equal

Answer / ravi

prepaid exp a/c dr
TO respective exp
if prepaid exp paid in cash
prepaid exp a/c dr
TO CASH

Answer / chandu

prepaid expenses a/c dr
to cash a/c

Expand ________FICCI

1 Answers  

Accounting Question Help Please? I would like to know how I should journalize this entry: Credit invoice received from Sam's Trailors for a 10% price adjustment on invoice #515, $1910 Please tell me what to debit/credit....purchase discounts, or purchase returns. THANKS

1 Answers  

fill in the Blanks Yours accounts must be compulsorily audited if your turnover exceeds _____________

1 Answers  

what is pre post expenses

2 Answers  

what is debt equity ratio

7 Answers   Banking, ICICI, State Bank Of India SBI,

in BRS. cash book and pass book has Dr. side and Cr. side If we issued a cheque where we have to show that amount in both.

3 Answers  

HOw to exceed the funding budget amount limit in actual ledger?

1 Answers  

What is Suspense Account?

1 Answers   EDS,

what is the journal entry for tax refund?

28 Answers   Firm, HSBC, Rahman Industries, Taj Group,

Is the the invoice number and voucher no will be same most of the time or it should be same?

1 Answers  

Mr.Jadhike owns a fleet of taxis adn the following information are available from the records maintained b him: 1.Number of taxis 10 2.salary of manager 600pm 3.cost of each taxi 20000 4.salary of cleaner 500pm 5.salary of mechanic 400 pm 6.garage rent 600pm 7.insurance premium 5%pa 8.annual tax 600 per taxi 9.driver salary 200 pm per taxi annual repair 1000 per taxi total life of a taxi is about 200000 kms. a taxi runs in all 3000kms in a month of which 30% it runs empty. Petrol consumption in one litre for 10kms@1.80 per litre. Oil and other are rs 5 per 100 kms calculate the cost of running a taxi per km 5

2 Answers  

what is the difference between chartered accounant and cost accountant and which is the best course among two.

1 Answers