3. -Failure to make an adjusting entry to recognize previously deferred insarance expense would cause whieh of the following? a. An overstatement of assets and liabilities b. An overstatement of expenses, liabilities and stockholders' equity c. An understatement of expenses and liabilities and an overstatement of stockholders' equity d. An understatement of expenses and an overstatement of assets and stockholders' equity e. An overstatement of assets and stockholders' equity