Question: Which statement about adjusting entries is false? Adjusting entries are recorded in the general journal but are not posted to the accounts in the general

Which statement about adjusting entries is false?

Adjusting entries are recorded in the general journal but are not posted to the accounts in the general ledger.

An adjusting entry would adjust a revenue transaction so it is reported when the revenue is earned.

Before an adjusting entry for prepaid expense is recorded, assets will be overstated and expenses will be understated.

Adjusting entries are often made because some business events are not recorded as they occur.

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