On October 1,2012,Water Works Paid $3,600 for 6 Months' Rent

question 21

Multiple Choice

On October 1,2012,Water Works paid $3,600 for 6 months' rent in advance.The appropriate journal entry was made at the time using Prepaid Rent.No other journal entry has been made.As of December 31,2012,Water Works should

• A)debit Rent Expense and credit Prepaid Rent for $1,200.
• B)debit Rent Expense and credit Prepaid Rent for $1,800.
• C)debit Prepaid Rent and credit Rent Expense for $1,800.
• D)debit Prepaid Rent and credit Rent Expense for $1,200.
• E)No journal entry is necessary as of December 31,20X9.

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