On December 31, 2016, interest of $1,500 has accrued on a ba

On December 31, 2016, interest of $1,500 has accrued on a bank note. This interest payment is due on January 20, 2017. If no adjusting entry is made on December 31, 2016, indicate the effect on assets, liabilities, equity, and net income

Understated, Overstated, No Effect
Assets
Liabilities
Equity
Net Income

What will be an ideal response

ANSWER

Understated, Overstated, No Effect
Assets No Effect
Liabilities Understated
Equity Overstated
Net Income Overstated