If a company incorrectly records cash received for services to be provided in the future by increasing Cash and increasing Sales Revenue, how will this error affect the current period? Liabilities will be too low. Net income will not be affected by this error. Net income will be too low. Thistle Do Nicely had $200 of supplies on May 1. During May, it purchased $400 of supplies on account. It paid $350 of the $400 it owed for its supplies. At May 31, Thistle Do Nicely only had $150 of supplies left. Supplies Expense on the income statement will equal $150 income statement will equal $350 income statement will equal $450 balance sheet will equal $350 balance sheet will equal $150 income statement will equal $400