If an Entity Paid $200 for Two Months' Rent in Advance

Multiple Choice

If an entity paid $200 for two months' rent in advance on 1 June and recorded it all as prepaid rent on that date, which of the following would be the necessary adjusting entry at 30 June?

A) Debit rent expense $100 and credit prepaid rent $100
B) Debit prepaid rent $100 and credit rent expense $100
C) Debit rent expense $200 and credit prepaid rent $200
D) Debit prepaid rent $200 and credit rent expense $200