Stancil Enterprises Prepaid Four Months of Office Rent Totaling $9,000

Multiple Choice

Stancil Enterprises prepaid four months of office rent totaling $9,000 on October 1,2017.Assuming Stancil records deferred expenses using the alternative treatment,what would be the adjusting entry recorded on December 31,2017?

A) Debit Rent Expense and credit Prepaid Rent for $6,750
B) No entry is needed since Rent Expense was recorded on October 1,2017
C) Debit Prepaid Rent and credit Rent Expense for $2,250
D) Debit Prepaid Rent and credit Rent Expense for $27,000