for the year ending december 31, orion, inc. mistakenly omitted adjusting entries for $1,500 of supplies that were used, (2) unearned revenue of $4,200 that was earned, and (3) insurance of $5,000 that expired. for the year ending december 31, what is the effect of these errors on revenues, expenses, and net income? a.revenues are overstated by $4,200. b.expenses are understated by $3,500. c.net income is overstated by $2,300. d.expenses are overstated by $6,500.