The Local Bank Needs to Borrow Funds from a Bank

The local bank needs to borrow funds from a bank in the next town.How does this affect the local bank's balance sheet?

A) The balance sheet would show increased borrowings and no change to owner's equity.
B) The balance sheet would show decreased reserves and increased owner's equity.
C) The balance sheet would show increased borrowings and increased owner's equity.
D) The balance sheet would show increased reserves and reduced owner's equity.
E) The balance sheet would show increased borrowings and reduced owner's equity.