Question

-3
Distinguish between outstanding expenses and prepaid expenses.
अदत्त व्यय आणि पूर्व दत्त व्यय यामधील फरक स्पष्ट करा.

Answer 1

Answer:

outstanding expenses are paid after the task is performed while prepaid expenses are paid before the task is performed

Answer 2

Expenditures outstanding are costs that have accrued and will be charged during the current accounting period, but no payment is made. These item shall be dealt with as payable to the business. Prepaid  expenses are expenses paid in advance  and represent deferred costs. In other words, prepayment spending is a expense incurred but not yet used or expired.

Explanation:

• Prepaid expenses are expenses that ywe have paid for and not yet received the benefit. Outstanding expenses differ since we have received the benefit however we have not paid yet
• Outstanding expenses are expenditures that are incurred but not charged , this is a liability to the corporation, while the expenses for which the payment was given in advance but the services have not yet been provided are a prepaid expense, so it is an benefit to the company.
• Example of prepaid expenses are insurance, rent, and taxes. Examples of outstanding expenses are outstanding subscription, salaries, and interest on loan