b. As prepaid expenses expire with the passage of time, the correct adjusting entry will be a A. debit to an asset account and a credit to an expense account. B. debit to an expense acut d C. debit to an asset account and a credit to an asset account. D. debit to an expense account and a credit to an expense account. 7. Belal Company purchased office supplies costing AED6,000 and debited Office Supplies for the full amount. At the end of the accounting period, a physical count of office supplies revealed AED2,400 still on hand. The appropriate adjusting journal entry to be made at the end of the period would be A. Debit Office Supplies Expense, AED2,400; Credit Office Supplies, AED2,400. B. Debit Office Supplies, AED3,600; Credit Office Supplies Expense, AED3,600. C. Debit Office Supplies Expense, AED3,600; Credit Office Supplies, AED3,600. D. Debit Office Supplies, AED2,400, Credit Office Supplies Expense, AED2.400. 8. Ahmed Real Estate received a check for AED18,000 on July I which represents a 6 month advance payment of rent on a building it rents to a client. Unearned Rent was credited for the full AED18,000. Financial statements will be prepared on July 31. Ahmed Real Estate should make the following adjusting entry on July 31: A. Debit Unearned Rent, AED3,000; Credit Rental Revenue, AED3,000. B. Debit Rental Revenue, AED3,000: Credit Unearned Rent, AED3,000. C. Debit Unearned Rent, AED18,000; Credit Rental Revenue, AED18,000. D. Debit Cash, AED18,000; Credit Rental Revenue, AED18,000