Sue Shells,Inc.pays back $200,000 on a loan it had obtained earlier from a bank.
A)Assets decrease by $200,000;liabilities and stockholders' equity are both unchanged.
B)Assets decrease by $200,000,liabilities decrease by $200,000,and stockholders' equity is unchanged.
C)Assets decrease by $200,000 and liabilities increase by $200,000.
D)Assets decrease by $200,000,liabilities are unchanged,and stockholders' equity decreases by $200,000.

Question

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This transaction will cause assets (Cash)to decrease and liabilities (Notes Payable)to decrease.