A business purchases equipment by paying

$ 7 comma 780

in cash and issuing a note payable of

$ 16 comma 030

.

Which of the following occurs?

A.

Cash is debited for

$ 7 comma 780

,

Equipment is debited for

$ 16 comma 030

,and

Notes Payable is credited for

$ 23 comma 810

.

B.

Cash is credited for

$ 7 comma 780

,

Equipment is credited for

$ 23 comma 810

,

and Notes Payable is debited for

$ 16 comma 030

.

C.

Cash is debited for

$ 7 comma 780

,

Equipment is credited for

$ 16 comma 030

,

and Notes Payable is debited for

$ 8 comma 250

.

D.

Cash is credited for

$ 7 comma 780

,

Equipment is debited for

$ 23 comma 810

,

and Notes Payable is credited for

$ 16 comma 030

.