A gym changes its method used to account for fee revenue. Customers pay initiation fees up front to gain access to the gym. These fees were previously recognized upon receipt, and now they will be recognized over time under the new method. How will the entry to record this change impact the financial statements?

A.Net Income, Liabilities and Equity will all decrease.

B. Liabilities will increase and Equity will decrease.

C.Revenues, Net Income and Tax Expense will all decrease.

D. Assets, Liabilities and Equity will all decrease.