Matox Corporation had a unadjusted balance of $5,000 in Supplies. The actual balance was $200 The accountant failed to make the adjusting entry What is the effect on the current year financial statements? O A. Retained Earnings is overstated by $5,000. B. Current assets are overstated by S4.000 C. Current assets are understated by S5000 D. Net income is understated by $4.800