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Rent Paid Rs.12000/- (which is included for the whole year
i.e Jan to Dec) and they have asked me to give Journal
Entry for the
Entry for the Month of Jan, Feb and March
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Answer Posted / surendra
1. At the time of Prepaid receipt you have to pass the JE
Prepaid rent a/c Dr. 12000
To Bank / Cash a/c 12000
2. To net of period wise you need to pass the JE month on month like
Rent a/c Dr 1000
To. Prepaid rent a/c 1000 (Jan,feb, march,...Dec)
3.The final JE will be at the end of the period is
Rent a/c Dr. 12000
To Bank / Cash a/c 12000
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