State whether the following statements are True or False:
Amount of prepaid expenses appears on assets side.

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Solution

True. Prepaid expenses are the expenses that have been paid in advance before they are even due for payment. An obligation that is met in advance is an asset for the company, Hence, any advance payment will appear on the assets side of the balance sheet.

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State whether the following statements are True or False:Amount of prepaid expenses appears on assets side.

True. Prepaid expenses are the expenses that have been paid in advance before they are even due for payment. An obligation that is met in advance is an asset for the company, Hence, any advance payment will appear on the assets side of the balance sheet.

State whether the following statements are True or False:
Amount of prepaid expenses appears on assets side.