Question: If an adjustment for $ 1 4 , 5 0 0 in accrued revenues is omitted, how will this affect the financial statements? a .

If an adjustment for $14,500 in accrued revenues is omitted, how will this affect the financial statements?
a. Accounts receivable will be overstated by $14,500.
b. Net income will be overstated by $14,500.
c. Net income will be understated by $14,500.
d. There will be no effect on the financial statements.

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