A business prepays four months' office rent.Which of the following accounts is debited?

Question

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Prepaid Rent is debited when a business prepays rent. This is because it is an asset account used to record the amount of rent paid in advance. It will be expensed over the course of the four months as Rent Expense. Cash is also affected by this transaction, but it is credited because the business is paying money out. Unearned Rent refers to a liability account used when a business receives payment in advance for rent and is not applicable in this scenario.

A Business Prepays Four Months' Office Rent