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If the total amount for insurance expense if inadvertently posed to prepaid insurance at the end of the year, what will be the effect on

If the total amount for insurance expense if inadvertently posed to prepaid insurance at the end of the year, what will be the effect on the year-end financials statements (and why)?

A. Revenues will be overstated

B. Revenue will be understated

C. Owner's Equity will be overstated

D. Owner's Equity will be understated

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