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The balance in the prepaid rent account before adjustment at the end of the year is $9840 and represents three months rent paid on December 1. The adjusting entry required on December 31 is:debit Prepaid Rent, $3280; credit Rent Expense $3280.debit Prepaid Rent, $6560; credit Rent Expense, $6560.debit Rent Expense, $9840; credit Prepaid Rent, $9840.debit Rent Expense, $3280; credit Prepaid Rent, $3280.
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