Accounting JAMB

Clifford pays rent of #200 per month for premises; He paid #2800 within the year. Compute the prepayment.

A. #300
B. #400
C. #600
D. #200

Correct Answer:

Option B – #400

Explanation

Rent pay per month is #200 so. #200 x 12month is #2400 then rent pay per year is #2800

#2800 – #2400 = #400

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