A firm records all transactions relating to the expense for both rent and rates in a single ledger account. At the start of the year there was an accrual in respect of rent R2 500 and a prepayment in respect of rates of R3 000. At the end of the year, there was rent due to R4 500 and rates prepaid of R3 500. The total expense for both rent and rates for the year was R36 000. Both the total amount paid during the year, in respect of both rent and rates, was:

A firm records all transactions relating to the expense for both rent and rates in a single ledger account. At the start of the year there was an accrual in respect of rent R2 500 and a prepayment in respect of rates of R3 000. At the end of the year, there was rent due to R4 500 and rates prepaid of R3 500. The total expense for both rent and rates for the year was R36 000. Both the total amount paid during the year, in respect of both rent and rates, was:

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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