On April $1,$ Smith, Inc. enters into a contract to provide construction services to Massive, Ltd$.$ for $$100,000,$ requesting and receiving a $10\%$ deposit. The deposit is recorded in Deferred Revenue. On December $31,$ Smith's year$-$end, Smith has completed and earned $40\%$ of the contract and has received an additional $$30,000$ in cash, which was also recorded in Deferred Revenue. What is the adjusting entry on December $31?$

A

Debit Accounts Receivable $$40,000,$ and credit Revenue $$40,000.$

B

Debit Revenue $$40,000,$ and credit Deferred Revenue $$40,000.$

C

Debit Deferred Revenue $$40,000,$ and credit Revenue $$40,000.$

D

Debit Revenue $$40,000,$ and credit Accounts Receivable $$40,000.$