Y-B-2 Inc. pays its rent of $90,000 annually on January 1. If the February 28 monthly adjusting entry for prepaid rent is omitted, which of the following will be true 1)Assets will be overstated by $7,500 and net income and equity will be overstated by $7,500. 2)Assets will be overstated by $15,000 and net income and equity will be understated by $15,000. 3)Failure to make the adjustment does not affect the February financial statements. 4)Expenses will be overstated by $7,500 and net income and equity will be understated by $7,500