Ralph, a Cash Basis Taxpayer, Owns a Five-Story Office Building $\quad$

Ralph, a cash basis taxpayer, owns a five-story office building that he leases to various tenants.During the year, he signed a three-year lease with a tenant and received a check of $6,000 for the following: Rent for November 1,2012 to October 1,2012 $\quad$$\$ 5,000$
Advance rent for last three months of lease $\quad$ 600
Security deposit (refundable) $\quad$$\quad$ 400 For the current year, 2012, Ralph must report income of

A) $6,000
B) $5,600
C) $5,000
D) $832
E) some other amount