$17$

Photometer Company paid off $$38,000$ of its accounts payable in cash. What would be the effects of this transaction on the accounting equation?

Multiple Choice

Assets, $$38,000$ increase; liabilities, no effect; equity, $$38,000$ increase.

Assets, $$38,000$ decrease; liabilities, $$38,000$ decrease; equity, no effect.

Assets, $$38,000$ decrease; liabilities, $$38,000$ increase; equity, no effect.

Assets, no effect; liabilities, $$38,000$ decrease; equity, $$38,000$ increase.

Assets, $$38,000$ decrease; liabilities, no effect; equity $$38,000$ decrease.