A Company Buys Equipment for $500,000 and Signs a Promissory $\uarr$

A company buys equipment for $500,000 and signs a promissory note for the full amount.How does this transaction affect the accounting equation?

A) Assets: $\uarr$ Property and equipment, $\downarrow$ Cash; Liabilities: no change; Shareholders' Equity: no change.
B) Assets: $\uarr$ Property and equipment; Liabilities: $\uarr$ Notes payable; Shareholders' Equity; no change.
C) Assets: $\uarr$ Property and equipment; Liabilities: no change; Shareholders' Equity: $\downarrow$ Retained earnings.
D) Assets: $\uarr$ Property and equipment; Liabilities: no change; Shareholders' Equity: $\downarrow$ Contributed capital.