On October $1,2024,$ a company purchases equipment for $$72,000.$ The equipment is expected to be used for the next four years $(48$ months$),$ and have no resale or scrap value at the end of the four years. What adjusting entry should the company record on December $31,2025?$

Multiple Choice

Increase Depreciation Expense and increase Accumulated Depreciation by $$13,500$

Increase Depreciation Expense and increase Accumulated Depreciation by $$18,000$

Increase Depreciation Expense and increase Accumulated Depreciation by $$22,500$

Increase Depreciation Expense and increase Accumulated Depreciation by $$4,500$