Charles Corporate Gifts does not want to disclose water and electricity amounting to R$5500$ owed for February $2021$ in the financial statements, as they argue that the municipality accounts were never sent on time, and they have not yet paid the municipality. The yearend of Charles Corporate Gifts is $28$ February. The accountant will, therefore, have to adjust the water and electricity account. Which elements will this adjustment affect and how will they be affected?

A$.$ Decrease expenses R$5500,$ increase liability R$5500$

B$.$ Increase expenses R$5500,$ decrease liability R$5500$

C$.$ Decrease equity R$5500,$ increase liability R$5500$

D$.$ Increase equity R$5500,$ decrease liability R$5500$