In Preparing Its 2014 Adjusting Entries,the ZigZag Ltd Forgot to Adjust

Multiple Choice

In preparing its 2014 adjusting entries,the ZigZag Ltd forgot to adjust the Office Supplies (asset) account for the amount of supplies used up during the year.As a result of this error:

A) 2014 profit is understated,the balance of equity is understated,and assets are understated.
B) 2014 profit is overstated,the balance of equity is correct,and assets are overstated.
C) 2014 profit is overstated,the balance of equity is overstated,and assets are overstated.
D) 2014 profit is overstated,the balance of equity is overstated,and assets are correctly stated.