Answer:
Rent expense (Dr,) $9,800
Prepaid Rent $9,800
Explanation:
The accrual concept of accounting requires us to record the expenses in a period in which they are incurred rather than when cash is paid. When the company paid advance rent of six months at the end of October, it will record a current asset (Unexpired resource) on the face of balance sheet. At the end each accounting period, it is required to expense out the resources (benefits) that are expired (utilized). This can be done through straight-line method. So, on December 31, 2019, the rent expense of two months that is of November and December should be charged to profit and loss statement in-order to record the expense of related period.
<u>Workings</u>
Rent expense per month = 29,400 / 6 = $4,900.
⇒ Rent expense of two months = 4,900 * 2 = $9,800.
This amount should be written off and the required adjusting entry is:
Rent expense (Dr,) $9,800
Prepaid Rent $9,800
The amount that Howard should report as taxable income from pensions and annuities when he files his tax return is $30, 000.
<h3>How to find the taxable income?</h3>
The Taxable income that Howard would report would depend on the contributions he made towards his retirement when he was still working. If these contributions were after - tax, then it would mean that he would not need to pay taxes.
However, as mentioned in the question, Howard did not contribute any after-tax dollars to the plan. This means that his entire income will be taxable.
Howard's taxable income would therefore be the entire $ 30, 000 annually.
Find out more on taxable income at brainly.com/question/26483240
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Please state these fees please?
Answer:
Goal formation is a process of how a goal is initiated or added to, while goal displacement is a process whereby goals are shifted out, changed, toned down or removed from the original set.
