Answer to Question #47234 in Economics for Felisia

Question

On October 1, 2009, Nautilus Co. received $15,300 for the rent of land for 12 months.
Journalize the adjusting entry required for unearned rent on December 31, 2009

Answer 1

To find the unearned rent we should calculate the rent for the last 3 month: $15,300x3/12 = $3,825
So, the entry should be:
Debit
Unearned Revenue $3,825
Credit
Rent Revenue Credit $3,825