Question 41 2 pts Carlton, Inc. pays its rent of $60,000 annually on January 1 and makes monthly adjusting entries. If the February 28 monthly adjusting entry for prepaid rent is omitted, which of the following are true? Expenses will be overstated by $5,000 and net income and stockholders equity will be understated by $5,000. Assets will be overstated by $5.000 and net income and stockholders' equity will be overstated by $5,000. Assets will be overstated by $10,000 and net income and stockholders' equity will be understated by $10,000. Failure to make the adjustment does not affect the February financial statements