Question

What is the journal entry for expenses?

Answer 1

Expenses and costs ordinarily have debit offsets that are expanded with a debit entry. Since they are generally increasing, think “debit” when costs are brought about. We credit expenses just to decrease them, balance them, or close the business ledgers.

Journal entry for an expense account

DATE	PARTICULARS	DEBIT	CREDIT
XXXX	Rent expense account……………………………….Dr.	XXX
To prepaid rent account	XXX
(Being rent paid in advance)

Also see: MCQs on Journal Entries