On October 1 of Year 1 Wilburn Company paid cash for an insurance policy that would provide protection for a one year term. Which of the following shows how the required adjusting entry on December 31, Year 1 will affect Wilburn's financial statements? Balance Sheet Income Statement A. Assets NA Liab. + Equity Rev. = NA + NA Exp. NA Net Inc. Statement of Cash Flows = NA NA B. = NA + + = NA C. = NA + NA - = NA -OA D. NA = NA + NA NA + II -OA