Examine the financial statements effects template below. Then select the answer that best describes the transaction.

Balance Sheet Income Statement

Transaction	Cash Asset	+Noncash Assets	=	Liabilities	+ Contributed capital	+Earned Capital	Revenues	-	Expenses	=	Net Income
?	-120	+600	=					-		=

A)

A.	Repay accounts payable of $120, net
	B.	Record accounts receivable of $600 and cash collected of $120
	C.	Purchase inventory of $600 partially on account
	D.	Purchase $600 of equipment on account
	E.	None of the above