A companys accounting records included the following accounts.

Accounts Receivable (A)

Prepaid Rent (A)

Unearned Revenue (L)

1/1 324	1/1 54	366 1/
2,725	a	57	b	c	342

12/31 476

12/31 56

316 12/31

Required:

1.

Complete the following sentencse that describes typical effects transactions have on the following accounts.

Accounts Transactions Increase and Decrease

Accounts Receivable Sales to customers on account.

Accounts Receivable Cash collections from customers.

Prepaid Rent Cash payments for rent related to future periods.

Prepaid Rent The benefits of these prepayments are used up over time.

Unearned Revenue Cash received from customers for goods or services to be provided inthe future.

Unearned Revenue Goods and services are provided.

2. Compute the missing amounts

Beginning	Increase	Decrease	=	Ending
Accounts Receivable	324	2,725	=	476
Prepaid Rent	54	57	=	56
Unearned Revenue	366	342	=	316