Office Systems and Supplies

If a company mistakenly forgot to record depreciation on Office Equipment at the end of an accounting period, the financial statements prepared at that time would show:

a. Assets overstated and equity understated.
b. Assets and equity both understated.
c. Assets overstated, net income understated, and equity overstated.
d. Assets, net income, and equity understated.
e. Assets, net income, and equity overstated.

The answer is E.

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