Advance prepaid expenses......Paid kiya for 3 months...
Carry forward kaisee hoga
1st Month Entry
Advance prepaid expense A/c Dr
To Bank A/c Cr
(Being expense paid in advance )
2nd Month Entry
Expense A/c Dr
To Advance prepaid Expense A/c Cr
( Being expense adjusted against advance )
3rd Month Entry
Expense A/c Dr
To Advance prepaid Expense A/c Cr
( Balance expense adjusted against advance )
Show Advance prepaid Expense A/c under Loans & Advances in Balance sheet .
CAclubindia
