Which of the following reflect the balances of prepayment accounts prior to adjustment? Balance sheet accounts are overstated and income statement accounts are understated. Balance sheet accounts are overstated and income statement accounts are overstated. Balance sheet accounts are understated and income statement accounts are overstated. Balance sheet accounts are understated and income statement accounts are understated.

B) Which of the following journal entries would not be considered a compound journal entry? Land 59500 Building 148800 Cash 208300 Wages Expense 1490 Wages Payable 990 Cash 500 Equipment 10100 Notes Payable 10100 Wages Expense 500 Advertising Expense 990 Cash 1490