If the adjusting entry for unearned revenues is not made, O revenues will be overstated. O liabilities will be overstated. O revenues will be understated. O assets will be overstated. If a business pays rent in advance and debits Rent expense, the company receiving the rent payment will credit which account (assume the company also uses the alternate method) Unearned Rent Revenue. Rent Revenue. Cash. O Prepaid Rent