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A company buys equipment for $500,000 and signs a promissory note for the full amount. How does this transaction affect the accounting equation? a. Assets
A company buys equipment for $500,000 and signs a promissory note for the full amount. How does this transaction affect the accounting equation? a. Assets increase, liabilities remain unchanged, shareholders' equity decreases. b. Assets increase, liabilities remain unchanged, shareholders' equity decreases. c. Assets increase, liabilities increase, shareholders' equity remains unchanged. d. Assets increase, liabilities increase, shareholders' equity decreases
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