Question

Paid $12,000 on December 1 for 12 months' rent for the warehouse we use for storage. Give the original entry to account for the payment of the rent?

Answer 1

The original entry to account for the payment of the rent would be: Debit: Rent Expense - $12,000, Credit: Cash - $12,000.

Step-by-step explanation:

The original entry to account for the payment of the rent would be:

Debit: Rent Expense - $12,000

Credit: Cash - $12,000

This entry reflects an increase in the Rent Expense account and a decrease in the Cash account, as $12,000 is paid for 12 months' rent for the warehouse used for storage.

The original entry to account for the payment of the rent would be: Debit: Rent Expense - $12,000, Credit: Cash - $12,000.