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:
$\begin{array} { l l l } \text { Oct. } 01 &\text { Cash } & 15,000\
&\text { Rent Revenue Earned} && 15,000
\end{array}$
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:
$\begin{array} { l l l } \text { Oct. } 01 &\text { Cash } & 15,000\
&\text { Rent Revenue Earned} && 15,000
 \end{array}$
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:
$\begin{array} { l l l } \text { Oct. } 01 &\text { Cash } & 15,000\
&\text { Rent Revenue Earned} && 15,000
 \end{array}$
Assuming Abdulla only prepares adjustments at year-end, prepare the required adjusting entry at December 31 of the current year.

Abdulla, Co Oct. 01 Cash 15,000 Rent Revenue Earned15,000\begin{array} { l l l } \text { Oct. } 01 &\text { Cash } & 15,000\\&\text { Rent Revenue Earned} && 15,000 \end{array} Oct. 01​ Cash Rent Revenue Earned​15,000​15,000​

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