$18.$ In October, your company prepays rent of $$7,000$ for November and December. Which of the

following describes the effects of this transaction in November?

a$)$ Stockholder$$s equity increases $$7,000$ and liabilities decrease $$7,000.$

b$)$ Stockholder$$s equity decreases $$3,500$ and assets decrease $$3,500.$

c$)$ Assets increase $$3,500$ and liabilities increase $$3,500.$

d$)$ Liabilities decrease $$3,500$ and stockholders' equity increases $$3,500$