Marco, Inc. and Inaros Co. are related companies subject to consolidation. During the year, Marco, Inc. rented an office to Inaros Co. for $12,000 and the rent has all been paid for in full with the exception of November's and December's total rent of $2,000, which has been properly entered and accounted for by both companies but not yet paid. The elimination entry at the time of consolidation for this transaction would be:

a)

No entry required as there's no net effect to net income

b)

Debit Rent Income $36,000, Credit Rent Receivable $6,000; Credit Rent Expense $36,000, Debit Rent Payable $6,000

c)

Debit Rent Income $48,000, Credit Rent Receivable $8,000; Credit Rent Expense $48,000, Debit Rent Payable $8,000

d)

Debit Rent Income $12,000, Credit Rent Receivable $2,000; Credit Rent Expense $12,000, Debit Rent Payable $2,000