The balance in the prepaid rent account before adjustment at the end of the year is $12,672, which represents 12 months' rent paid on December 1. The adjusting entry required on December 31 is a. debit Rent Expense, $11,616, credit Prepaid Rent, $1,056 b. debit Prepaid Rent, $11,616, credit Rent Expense, $1,056 c. debit Rent Expense, $1,056, credit Prepaid Rent, $1,056 d. debit Prepaid Rent, $1,056, credit Rent Expense, $1,056