Question

Write account type with reason of following.
1. Rent received.
2. Rent outstanding.
3. Rent received in advance.

Answer 1

Answer:

To account for an upfront rent payment in the general ledger, record a debit to the cash account for the amount received and a credit to the unearned rent account for the same amount. The debit increases cash, which is an asset. The credit increases unearned rent, which is a liability, or something you