On April 1, a company takes on an 18-month job and receives a $10,000 advance. The only journal entry made debits cash $10,000 and credits revenue $10,000 If no adjusting entry is made at year end, how will the financial statements be affected?

a. net income overstated assets not affected liabilites understaed

b. net income overstated assets overstated liabilited not affected

c. net income understated assets not affected liabilites overstated

d. net income understated assets understated liablites not affected