At the end of January, the first month of the business year, the usual adjusting entry transferring rent earned from the unearned rent account to a revenue account was omitted. Indicate which items will be incorrectly stated, because of the error, on (a) the income statement for January and (b) the balance sheet as of January 31. Also indicate whether the items in error will be overstated or understated.

Answer and Explanation:

a. In the case of the income statement

Revenues would be understated as the revenue is not credited

Expenses would remain unchanged

Net income would be understated due to the revenues

b. In the case of the balance sheet

Asset would remain unchanged

Liabilities would be overstated as the rent would not be transferred

Owner equity would be understated as there is a lower net income that low the retained earnings so automatically the owner equity would be understated

the answer is either "loser" or "dumb*ss"

gods, i'm only joking, don't ban me.*

x=3

step-by-step explanation:

this is really simple i saw that there was only one term (5x) and thought if that was 15 what would i have to multiply everything else to get it there? well if 5x became 15 then x would have to be 3 so plug the 3 in the x for the other equations and you get 15 for the other ones. so there you go. : )