Kani Inc. prepares financial statements once every quarter. On Jan 1st, Kani Inc. moves into a new warehouse without putting any money down. The warehouse has a monthly rental price of $12,000. Kani Inc's rental contract mandates a payment at the end of every 6 months rental period. On March 31st, Kani Inc. records the following adjusting entry: Account Debit Credit Rent expense 36,000 Rent payable 36,000 Account Debit Credit Rent expense 12,000 Rent payable 12,000 Account Debit Credit Rent payable 12,000 Rent expense 12,000 Account Debit Credit Rent expense 12,000 Cash 12,000 On Dec 31st, Commons Inc. wants to prepare adjusting entries to recognize the total depreciation expense of $190,000 for their Property, Plant, and Equipment (PPE). Account Debit Credit Depreciation expense 190,000 Accumulated Depreciation 190,000 Account Debit Credit Depreciation expense 190,000 Property, Plant, and Equipment 190,000 Account Debit Credit Property. Plant, and Equipment 190,000 Depreciation expense 190,000 Account Debit Credit Property, Plant, and Equipment 1,000 Depreciation expense 1.000 Ebi Co. prepares financial statements once every quarter. On Oct 31st, Ebi Co. receives a $10,000 prepayment from their customer for 4 months worth of rent in advance. On Dec 31st, Ebi Co, records the following adjusting entry: Account Debit Credit Rent receivable 5,000 Rent revenue 5,000 Account Debit Credit Rent receivable 2,500 Rent revenue 2,500 Account Debit Credit Cash 10,000 Rent revenue 10,000 Account Debit Credit Cash 10,000 Deferred revenue 10,000