Glenn Company paid $9,000 cash to its landlord on November 1, 2023 for rent covering the six-month period from November 1, 2023 through April 30, 2024. The books are adjusted only at year-end. Which of the following does not correctly describe the effect on Glenns financial statements of the December 31, 2023 adjusting entry?

A) Net income decreases $3,000.

B) Prepaid rent decreases $3,000.

C) Rent expense increases $3,000.

D) Stockholders' equity increases $3,000.