On September 30, MFP Co

On September 30, MFP Co. paid employee salaries $7,000, including $1,000 it owed to its employees last month. What are the effects of this transaction on the accounting equation?

A) Expenses increased, liabilities increased, and assets increased.
B) Assets decreased, liabilities decreased, and expenses increased.
C) Assets decreased, expenses decreased, and liabilities increased.
D) Expenses decreased, liabilities decreased, and assets decreased.
E) Assets increased, expenses increased, and liabilities decreased.