Explain me about prepaid Expenses and Outstand expenses

1.	Explain me about prepaid Expenses and Outstand expenses
Answer» \tOutstanding Expenses When expenses of an accounting period remain unpaid at the end of accounting period, they are termed as outstanding expenses. For example, if Salaries are paid for 11 months only, then the salaries for the 12th month will be called Outstanding Salaries.\tPrepaid Expenses Those expenses which have been paid during the current accounting\xa0period but the benefit of which will accrue in the subsequent accounting period or periods are known as prepaid expenses. For example, rent paid in advance for 3 months.

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