47. What was the purpose of the adjusting entry to debit Prepaid Advertising and credit Advertising Expense? A) To accrue an expense to be paid in the subsequent account period. B) To defer a portion of a recorded expense that will provide a benefit in a subsequent accounting period. C) To defer a portion of a recorded expense in order to reduce the amount of reported net income. D) None of the above 48. What was the purpose of the adjusting entry to debit Insurance Expense and credit Prepaid Insurance? A) To recognize a portion of a recorded prepaid expense that provided a benefit in the current accounting period. B) To test the basic mathematical skills of the accountant. C) To defer part of a recorded expense that will provide a benefit in a future accounting period. D) None of the above. 49. If the adjusting entry to debit Unearned Storage Fees and credit Storage Fees Earned had not been recorded, the effect would have been an: A) overstatement of Net Income B) overstatement of Current Liabilities C) understatement of Net Income D) both B and C