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| Rent Paid Journal Entry |
When a business pays rent for its premises, then it is necessary to book the entry in its accounting record.
Journal Entry for Rent Payment
Rent Expense Account Debit
Cash or Bank Account Credit
- The "Rent Expense" account is debited because of recognizes the expense associated with renting the premises.
- The "Cash" or "Bank Account" is credited because of reflects the decrease in the cash or bank balance of the company.
This journal entry reflects the payment of rent, reducing the company's cash or bank balance, and recognizing the associated expense.
