Prepaid Expense
Prepaid expenses are advance payments for goods or services to be received in future periods. Common examples include prepaid rent and insurance. Initially recorded as assets, they are gradually expensed over time as the benefit is consumed, following the matching principle to align costs with related revenues.
More Items
Prepaid Interest
Prepaid interest is interest paid before it's due, often at the beginning of a loan term. It's initially recorded as…
Prepaid Income
Also known as unearned income, prepaid income is money received before delivering goods or services. It’s recorded as a liability…
Post Closing Balance Sheet
A post-closing balance sheet reflects the company’s financial position after all temporary accounts (revenues, expenses, dividends) are closed. It shows…
This website uses cookies to improve your experience. You can accept all or reject non-essential cookies.