Choose the correct answer about prepaid expense

Answer is

>>B)DR prepaid expenses

        cr cash

B. When we paid an amount for any future expenses the entry will be as follows

DR. Prepaid expenses

    CR Cash / Accounts payable

& when the expense occur then we actually expense out the prepaid expense by the following entry

DR. Expense

  CR. prepaid expense

My answer is b. debit prepaid expense cr. cash.

meaning you paid in advance the expense

B.....................................................................................

Correct answer is  B..............................................

Prepaid expense for the company is current assets so so Answer B is correct

Prepaid Expense Dr

Cash Cr

B- DR. Prepaid expense - CR. Cash is the correct answer

B is the correct answer and the entry would be :-

Prepaid Expense       Dr

    Cash                                      Cr

Correct Option is B.....................

B- DR. Prepaid expense - CR. Cash