On October $1,$ Year $2,$ Stokes Company paid Eastport Rentals $$31,000$ for a $12-$month lease on warehouse space.

Required:

Record the deferral and the related December $31,$ Year $2,$ adjustment for Stokes Company in the accounting equation.

Record the deferral and the related December $31,$ Year $2,$ adjustment for Eastport Rentals in the accounting equation.