What Type of Account Is Prepaid Rent

question 5

Multiple Choice

What type of account is Prepaid Rent?

• A) an expense
• B) shareholders' equity
• C) an asset
• D) a liability

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Definitions:

Culture Shock

Culture shock describes the feelings of confusion, disorientation, or anxiety that one may experience when exposed to a significantly different cultural environment.

Global Markets

The international exchange of goods and services, encompassing the interconnected economies of countries worldwide.

Balance Sheet Approach

A method in financial accounting that provides a snapshot of a company's financial condition at one point in time by listing its assets, liabilities, and equity.

Validation

The process of verifying that a product, service, or system meets the required specifications and fulfills its intended purpose.