On January $1,2022,$ ABC Co$.$ pays $$12,000$ for a year$$s rent in advance.

Using accrual accounting rules, how much rent expense is recognized at the time of the payment?

Group of answer choices

$$1,000$ for the first month is recognized.

$$12,000$

No expense is recorded until the first month passes.

It depends on whether a written receipt was received from the landlord for the amount paid.