Accountancy, asked by karthik96371, 7 months ago

Expense paid in advance is known as

Answers

Answered by shashijayashri
1

Answer:

Prepaid expenses are future expenses that have been paid in advance. In other words, prepaid expenses are costs that have been paid but are not yet used up or have not yet expired. ... As the amount expires, the current asset is reduced and the amount of the reduction is reported as an expense on the income statement.

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Answered by jatin910
1

Explanation:

Prepaid expenses are future expenses that have been paid in advance. In other words, prepaid expenses are costs that have been paid but are not yet used up or have not yet expired. ... As the amount expires, the current asset is reduced and the amount of the reduction is reported as an expense on the income statement.

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