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WorksheetsEXPENSES AND COST OF SALES PART 1
Total questions: 10
Worksheet time: 3mins
Goods are considered as SOLD when:
an ORDER is received
CASH is received
goods are DELIVERED
My rent expense is $2000/ mth. In March, I paid $4000 for March and April.
Rent expense for March =
$4000
$2000
My rent expense is $4000/mth. I paid $3000 only.
Rent expense (March) =
$4000
$3000
My rent expenses is $5000/mth. I paid $3000 only.
Rent expense PAYABLE = $2000
PREPAID rent expense = $2000
My rent expense is $5000/mth. I paid $6000.
Rent expense PAYABLE = $1000
PREPAID rent expense = $1000
Cash paid for rent expense = $4000. I still OWE $1000 for rent expense.
Rent expense INCURRED (actual) =
$3000
$5000
Cash paid for rental expense = $4000. This included a PREPAID of $1000.
Rent expense INCURRED (actual) =
$3000
$5000
Cash PAID - PREPAID = expense INCURRED (actual)
True
False
PREPAID expense = current
ASSET
LIABILITY
expense PAYABLE = current
ASSET
LIABILITY
