In making adjusting entries at the end of its accounting period, Chao Consulting mistakenly forgot to record 1. $3,300 of insurance coverage that had explred (this $3,300 cost had been initially debited to the Prepaid Insurance account) 2. $2,050 of accrued salaries expense As a result of these two oversights, the financial statements for the reporting period will: Multiple Choice Understate net income by $2,050 Understate assets by 53,300 Overstate labilities by $2,050 Understate expenses by 55,350