Prepaid Advertising has a debit balance in the Trial Balance section of the worksheet of $1,500 and a credit entry of $500 in the adjustments section of the worksheet,the balance of Prepaid Advertising in the Adjusted Trial Balance section of the worksheet is a

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Prepaid Advertising had a debit balance of $1,500 in the Trial Balance section and a credit entry of $500 in the adjustments section. This means that $500 of the original debit balance was used up or consumed during the period, leaving a remaining debit balance of $1,000. Therefore, the balance of Prepaid Advertising in the Adjusted Trial Balance section of the worksheet is a $1,000 debit.

Prepaid Advertising Has a Debit Balance in the Trial Balance