Ned Company had $375,000 of current assets and $150,000 of current liabilities before borrowing $70,000 from the bank with a 3-month note payable. What effect did the borrowing transaction have on the amount of Ned Company's working capital?

Select one:

A. No effect

B. $70,000 increase

C. $140,000 increase

D. $70,000 decrease

E. None of the above.