On October 1, 2019Your Company paid $3,600 space for a one-year of rent for office. At the end of the year after all adjusting entries are made, what should the financial statements report ?

a. Prepaid rent 3,000; Rent expense, $ 600

b. Prepaid rent, $2,700; Rent expense, $ 900

C. Prepaid rent , $ 600; Rent expense , $3,000

D. Prepaid rent, $ 900; Rent expense, $2,700

2.) Which of the following best describes the following entry : Recording the interest income Your Corporation has earned but not yet received?

a. an asset source

B. an asset exchange

C. an asset use

D. a claims exchange