An amount of Rs.68,000 was paid on 3/3/17 for advertisement in a newspaper. This was published in the newspaper on 3/4/17. This expenditure will be shown as __
A. Liability in the balance sheet on 31/3/17
B. Prepaid expenses on the assets side of Balance Sheet on 31/3/17
C. An expense in the Profit and Loss A/c for the year ended 31/3/17
D. None of the above
Answer:B
An amount of Rs.68,000 was paid on 3/3/17 for advertisement in a newspaper. This was published in the newspaper on 3/4/17. This expenditure will be shown as __
A. Liability in the balance sheet on 31/3/17 B. Prepaid expenses on the assets side of Balance Sheet on 31/3/17 C. An expense in the Profit and Loss A/c for the year ended 31/3/17 D. None of the above