Question

Is prepaid rent a long-term asset?

Answer 1

A prepaid expense is carried on the accounting report of an association as a current resource until it is consumed. In the event that a prepaid cost was probably going to not be burned-through inside the following year, it would rather be characterized on the accounting report as a long-term resource.

Also read:

• Difference Between Assets and Liabilities
• What Are Current Assets?
• What Is a Fixed Asset?
• Fixed Assets Vs Current Assets