During 2014, A a limited company paid a total of $92,550 for rent covering the period from 1 October 2013 to 31 March 2015.
What figures should appear in the company's statement of profit or loss and statement of financial position?
Suggested solutions:
| Total rent | 92,550 | No of months | 15 | Monthly rental | 6,170 | Monthly rental | 6,170 | No of months in one year | 12 | Total rental for the year | 74,040 | No of months paid in advance | 3 | Monthly rental | 6,170 | Prepayment | 18,510 |