Joshua Company sent a check for $36 to Readers Digest magazine on May 1 toward a one year subscription starting on the same day . If the company's financial year ends on September 30 their financial statements will export A . Prepaid Subscription of $12 , and Subscription Expense of $24 B . Prepaid Subscription of $18 , and Subscription Expense of $18 C . Prepaid Subscription of $24 , and Subscription Expense of $12 D . Prepaid Subscription of $21 , and Subscription Expense of $15