Rent expense that is paid with cash appears on which of the following statements?
A)Balance sheet
B)Income statement
C)Statement of retained earnings
D)Schedule of accounts receivable
E)Statement of cash received

Question

Quizplus · Accepted Answer

Rent expense is an operating expense and appears on the income statement. The balance sheet displays assets, liabilities, and equity at a specific point in time, and does not show expenses or revenue. The statement of retained earnings shows changes in a company's retained earnings balance over a period of time. The schedule of accounts receivable shows a list of customers who owe the company money and the amount owed, and the statement of cash received is not a financial statement commonly used in accounting.

Rent Expense That Is Paid with Cash Appears on Which