Assume that Wave Rider sold skateboards to a department store for $28,000 cash. How would this transaction affect Wave Rider’s accounting equation?

a. Increase both assets and stockholders’ equity by $28,000

b. It will not affect the accounting equation because the effects cancel out.

c. Increase both assets and liabilities by $28,000

d. Increase both liabilities and stockholders’ equity by $28,000 AppendixLO1