As an inducement to enter a lease, Arts, Inc., a lessor, grants Hompson Corp., a lessee, 9 months of free rent under a 5-year operating lease. The lease is effective on July 1, Year 3, and provides for monthly rent payments of $1,000 to begin on April 1, Year 4. In Hompsons income statement for the year ended June 30, Year 4, rent expense should be reported as
A.	$10,200
B.	$9,000
C.	$3,000
D.	$2,550