Which of the following statements is correct? A. The revenue recognition principle dictates that revenue should be recognized in the accounting records in the period that income taxes are paid. B. If an adjusting entry is not made for an accrued expense, net income will be understated. C. The adjusted trial balance is prepared after financial statements are prepared. D. If an adjusting entry is not made for an accrued revenue, stockholders' equity will be understated. E. The adjusted trial balance is prepared before all transactions have been journalized