1. Deferred rental revenue

A hospital leases space to a physician's private practice for $15,000 per year. At the beginning of the year (assuming a calendar year end), the rent was paid in full. The hospital uses the accrual basis of accounting.

(a) What is the balance in the hospital's deferred rental revenue account as of May 31?

(b) What is the balance in the hospital's rent income account as of June 30?