If an organization uses $1,390 to purchase supplies, the effect on the accounting equation would be:

a.

Assets increase $1,390 and liabilities decrease $1,390.

b.

One asset increases $1,390 and another decreases $1,390, causing no effect.

c.

Assets decrease $1,390 and equity decreases $1,390.

d.

Assets decrease $1,390 and equity increases $1,390.

e.

Assets increase $1,390 and liabilities increase $1,390.