Molly paid RM38,000 of its accounts payable in cash, what was the effect on the assets, liabilities, and equity?

Select one:

a. None of these.

b. Assets would decrease RM38,000, liabilities would decrease RM38,000, and equity would decrease RM38,000.

c. Assets would decrease RM38,000, liabilities would decrease RM38,000, and equity would increase RM38,000.

d. There would be no effect on the accounts because the accounts are affected by the same amount.

e. Assets would decrease RM38,000, liabilities would decrease RM38,000, and equity would not change.