On November 1, Rosewood Apartments received $4,800 from a tenant for three months’ rent. The receipt was credited to Unearned Rent Revenue. What adjusting entry is needed on December 31?

Unearned Rent Revenue

3,200

Rent Revenue

3,200

Rent Revenue

1,600

Unearned Rent Revenue

1,600

Unearned Rent Revenue

1,600

Rent Revenue

1,600

Cash

1,600

Rent Revenue

1,600

The following normal balances appear on the adjusted trial balance of Augusta National Company:

Equipment

$90,000

Accumulated depreciation, equipment

15,000

Depreciation expense, equipment

5,000

The book value of the equipment is

a. $85,000.

b. $70,000.

c. $75,000.

d. $60,000.