Use the following information to answer this questions.

Rent prepaid - 1/01/2014 - N600

Rent paid - 31/12/2014 - N3,000

Rent prepaid - 31/12/2014 - N400.

Rent for 2014 chargeable to the profit and loss account is

  • A N4,000
  • B N3,000
  • C N3,200
  • D N2,800
waec 2016accounting

The correct answer is B. N3,000

The profit and loss (P&L) statement is a financial statement that summarizes the revenues, costs and expenses incurred during a specified period, usually a fiscal quarter or year. 3000 is the only expenses incured within the year. other payments were made in advance.

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