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<p>(a). asset</p> <p>(b). liability</p> <p>(c). revenue</p> <p>(d). deferred expense</p>
Prepayment is services owed by the supplier in the future as we have made advance money. Its an obligation to be received from the supplier; hence its classified under Assets
Treated as "ASSET" .It will be included with "CURRENT ASSET".
Prepaid Expenses is an asset shown under Current Assets.
It must be Prepaid Expenses under Current Assets.
Prepaid rent is treated as current asset in trail balance.
Deferred expenses paid in advance
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