On June 1, XYZ Inc. paid $400 to its landlord for rent for the current month. The journal entry to record this transaction is:

Question

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The transaction relates to the payment of rent expense for the current month. The payment is made in cash, therefore, Option C is incorrect. The payment is not for prepaid rent, therefore, Option B is incorrect. Since the payment relates to rent expense for the current period, the journal entry should be a debit to Rent Expense and a credit to Cash, as in Option D. Option A correctly identifies the accounts affected but the debit and credit are reversed.