JE

Question 1

Rent Expense

Answer 1

Dr Rent Expense
CR CASH
CR Accrued rent payable (if there is a different amount of rent expense… because remember you have to take the average)

Question 2

Lease bonus for rentals (Lesee and Lesor

Answer 2

Lessee: Record full amount of bonus but can only amortize (record the expense over life of lease)
Dr. Lease Bonus
CR Cash

DR Rent Expense
Cr Lease Bonus (for the amount over that period

Lesor:

DR Cash
CR Unearned revenue

Dr Unearned Rev
Cr Revenue (for amount expensed)

Question 3

Rent Kickers

Answer 3

Dr Rent Expense
CR Cash

Because it is a period expense.

Question 4

Refundable Security Deposit

Answer 4

Becomes an asset because it is refundable
Dr. Security deposit receivable
Cr Cash