QUESTION 6 Which of the following transactions results in an increase in both net income and stockholders' equity? a. Collecting cash from a customer for services to be provided in the future Ob. The accrual of interest expense year-end c. Paying cash to acquire a six-month insurance policy d. Adjustment of the unearned revenue account for revenue earned during the period QUESTION 7 Which of the following correctly describes the effects of initially recording prepaid insurance expense when cash is paid to purchase an insurance policy? a. Net income decreases b. Liabilities are decreased Oc. Stockholders' equity increases d. Total assets do not change