A building was purchased for $40,000. The company used a $20,000 note to finance the building, while paying the remainder in cash. Which of the following is true?

Group of answer choices

The transaction resulted in a net increase in both assets and liabilities

The transaction resulted in a net decrease in assets and an increase in liabilities

The transaction resulted in a net increase in assets and an increase in equity

The transaction resulted in a net decrease in both assets and liabilities