On April 1, Hill Company purchased $2,540 of supplies on account and debited Supplies. At the end of the calendar year, $1,920 of supplies remained. If the appropriate adjusting entry is not made at the end of the year, what will be the effect on: (a) Income statement accounts (overstated, understated, or no effect)? (b) Net income (overstated, understated, or no effect)? (C) Balance sheet accounts (overstated, understated, or no effect)? Income Statement Accounts Revenue: Choose One Expense: Choose One v Net Income: Choose One v Balance Sheet Accounts Assets: Choose One Liabilities: Choose One Retained Earnings: Choose One