The beginning balance of Unearned Rent was $8,100 and the ending balance was $11,200. The Rent Earned for the year was $58,700.
How much cash was received for rent?
A) $78,000
B) $39,400
C) $55,600
D) $61,800

Question

Quizplus · Accepted Answer

The cash received for rent can be calculated by adding the Rent Earned during the year to the increase in Unearned Rent. The increase in Unearned Rent is the ending balance ($11,200) minus the beginning balance ($8,100), which equals $3,100. Therefore, the cash received for rent is $58,700 (Rent Earned) + $3,100 (increase in Unearned Rent) = $61,800.

The Beginning Balance of Unearned Rent Was $8,100 and the Ending