Question: If the following adjusting entry is omitted, what effect will it have on the financial statements? Account Debit Credit Unearned Rent 2 , 6 0

If the following adjusting entry is omitted, what effect will it have on the financial statements?
Account Debit Credit
Unearned Rent 2,600
Rent Revenue 2,600
a. Revenues will be understated by $2,600.
b. There will be no effect on net income.
c. Revenues will be overstated by $2,600.
d. There will be no effect on liabilities.

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