Current Attempt in Progress

Which of the following is true if a company capitalizes rather than expenses a cost?

Assets will go down in the current period as a result of the cost being capitalized.

Liabilities will go up in the current period as a result of the cost being capitalized.

Net income will go down in the current period as a result of the cost being capitalized.

Owners equity will go up in the current period as a result of the cost being capitalized.