Payment of rent expenses is recorded on which side of cash book? A. Receipts B. Payments C. Income D. Expense

The correct answer is B. Payments.

A cash book is a book of original entry used to record all cash receipts and payments. It is a two-sided book, with the left-hand side recording receipts and the right-hand side recording payments.

Payment of rent expenses is a business expense, so it is recorded on the right-hand side of the cash book.

Here is a brief explanation of each option:

• A. Receipts. Receipts are recorded on the left-hand side of the cash book. They represent money that has come into the business, such as from sales, loans, or investments.
• B. Payments. Payments are recorded on the right-hand side of the cash book. They represent money that has gone out of the business, such as for expenses, purchases, or salaries.
• C. Income. Income is recorded on the left-hand side of the cash book.
  Join Our Telegram Channel
  It represents money that has come
  Subscribe on YouTube
  into the business, such as from sales, interest, or dividends.
• D. Expense. Expenses are recorded on the right-hand side of the cash book. They represent money that has gone out of the business, such as for rent, utilities, or salaries.