Prepaid Rent is considered to be a(n)
A) liability.
B) asset.
C) contra-asset.
D) revenue.

Name: Prepaid Rent is considered to be a(n) A) liability. B) asset. C) contra-asset. D) revenue.
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Question

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Prepaid Rent is considered an asset because it represents a payment made in advance for rent that will be used in the future. As time passes, the amount of the prepaid rent will decrease as it is gradually recognized as an expense.

Prepaid Rent Is Considered to Be A(n)