On April 1, 2019, SBD Corp. paid $120,000 for rent on a new warehouse space one year in advance. On October 1, 2019, SBD Corp. entered into a lease agreement to rent out its old warehouse space it was no longer using. This agreement calls for SBD to receive $8,000 per month from the lessee (i. e. tenant), due and payable at the end of the 4-month lease term. On December 31, 2019, none of the rental payments from the lessee had yet been received.
a. if SBD makes the appropriate adjusting entry how much will be reported on the December 31, 2019, income statement for rent expense
b. If SBD makes the appropriate adjusting entry how much will be reported on the December 31 2019 balance sheet as prepaid rent and rent receivable respectively

Answer and Explanation:

a. Since the advance rent payment is made for $120,000 on April 1 but we have to reported till December 31 i.e for 9 months instead of 12 months

So, the amount reported is

= $120,000 × 9 months ÷ 12 months

= $90,000

Therefore, the adjusting entry is  

Rent expense Dr $90,000

        To Prepaid rent $90,000

(Being the rent expense is recorded)

And the other adjusting entry for 3 months for old warehouse is

Rent receivable Dr $24,000     ($8,000  × 3 months)

      To Rent income $24,000

(Being the rent receivable is recorded)

Hence, the $90,000 should be reported as a rent expense on the income statement

b. After recording the  appropriate adjusting entry, the amount reported as a prepaid rent and rent receivable in the asset side of the balance sheet is $30,000 and $24,000 respectively.

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answer: a. the kind of population living in your neighbourhood.

the census explorer data tool by the us census bureau allows the user to zoom in on any neighbourhood within the united states and find the kind of people residing in that by race and age.  

the tool needs to needs to be used twice – once in order to find what type of people reside in a neighbourhood, and then to see the age groups of the people in the same neighbourhood.