On July 1, Kingston Store Paid $15,000 to Location Realty $\$ 15,000$

On July 1, Kingston Store paid $15,000 to Location Realty for six months rent, starting July 1. Prepaid Rent was debited for the full amount. If financial statements are prepared on July 31, the adjusting entry to be made by Kingston Store is

A) debit Rent Expense, $\$ 15,000$ ; cre dit Prepaid Pent, $\$ 15,000$ .
B) debit Prepaid Rent, $\$ 2,500$ ; credit Rent Expense, $\$ 2,500$ .
C) debit Prepaid Rent, $\$ 7,500$ ; credit Rent Expense, $\$ 7,500$ .
D) debit Rent Expense, $\$ 2,500$ ; credit Prepaid Rent, $\$ 2,500$ .