Abdulla,Co.collected 6-months' rent in advance from a tenant on October 1 of the current year.When it collected the cash,it recorded the following entry:
$$\begin{array} { l l l }
\text { Oct. } 01& \mathrm { Cash } & 15,000 \
& \text { Rent Revenue Earned }&&15,000
\end{array}$$
Assuming Abdulla only prepares adjustments at year-end,prepare the required adjusting entry at December 31 of the current year.

Question

Abdulla,Co.collected 6-months' rent in advance from a tenant on October 1 of the current year.When it collected the cash,it recorded the following entry:
 $$\begin{array} { l l l } 
\text { Oct. } 01& \mathrm { Cash } & 15,000 \
& \text { Rent Revenue Earned }&&15,000
\end{array}$$ 
Assuming Abdulla only prepares adjustments at year-end,prepare the required adjusting entry at December 31 of the current year.

Quizplus · Accepted Answer

The Answer of Abdulla,Co.collected 6-months' rent in advance from a tenant on October 1 of the current year.When it collected the cash,it recorded the following entry:
 $$\begin{array} { l l l } 
\text { Oct. } 01& \mathrm { Cash } & 15,000 \
& \text { Rent Revenue Earned }&&15,000
\end{array}$$ 
Assuming Abdulla only prepares adjustments at year-end,prepare the required adjusting entry at December 31 of the current year.

Abdulla,Co Oct. 01Cash15,000 Rent Revenue Earned 15,000\begin{array} { l l l } \text { Oct. } 01& \mathrm { Cash } & 15,000 \\& \text { Rent Revenue Earned }&&15,000\end{array} Oct. 01​Cash Rent Revenue Earned ​15,000​15,000​

Abdulla,Co $\begin{array} { l l l } \text { Oct. } 01& \mathrm { Cash } & 15,000 \\& \text { Rent Revenue Earned }&&15,000\end{array}$