Big Bite Diner received a bill of $800 from the Blackstone Wine Advertising Agency. The owner K. T. Lang is postponing payment of the bill until a later date. The effect on specific items in the basic accounting equation is
A) a decrease in Cash and an increase in Accounts Payable.
B) a decrease in Cash and an increase in Owner's Capital.
C) an increase in Accounts Payable and a decrease in Owner's Capital.
D) a decrease in Accounts Payable and an increase in Owner's Capital.
Correct Answer:
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