At 2010 December 31, an adjusting entry was made as follows:
|
Rent Expense |
1,500 |
|
|
Prepaid Rent |
1,500 |
You know that the gross amount of rent paid was USD 4,500, which was to cover a one-year period.
Determine:
a. The opening date of the year to which the USD 4,500 of rent applies.
b. The entry that was made on the date the rent was paid.