In: Accounting
Sixth Company: You have been assigned to prepare accounting treatments for the following cases:
First case: (consideration of prepaid expenses as an asset)
On the date of 1/1 the company paid advertising and advance fees in
the amount of 24,000 dinars in cash for a two-year campaign:
Required: 1) Procedure for recording the payment of advertising and
prepaid advertising fees in 1/1
2) Procedure for recording the inventory settlement and closing
restrictions on 12/31
The second case: (the revenue receivable)
On the date of 12/31, the rental income of the future company was
22,000 dinars, knowing that the monthly rental income is 2000
dinars.
The required: Procedure for recording the inventory settlement and
closing on 12/31
Please find the attached sheets,
Take a look at solution, even then you find it difficult to understand then you can comment me for any specific explanation, I will respond you via comment section.
Thanks,