of On April 1 $3,600 was received in advance for 12 months of rent. On April 30, $300 out of the total rent has been earned. Required: With regard to the above situation: a. State whether it is a prepaid expense, unearned revenue, accrued revenue or an accrued expense. b. Assuming that the accounting period is 1 month, prepare the necessary adjusting entry on April 30. Answer a. This situation is a Prepaid expense Unearned Revenue Accrued Expense Accrued Revenue b. The necessary adjusting entry is the following: DATE ACCOUNT TITLES DEBIT CREDIT April 30 $ For each of the following items show: a. the type of the account (whether it belongs to assets, liabilities, equity, revenues, expenses, or dividends) b. in which statements it should appear (Income Statement, Retained Earnings Statement, or Statement of Financial Position) Account Title Account Type Statement Accounts Payable . F Cash Retained Earnings e Salaries Payable Rent Revenue