On November 1, 2021, Rhyolite borrowed $200,000 cash on a 1-year note payable with a 6% annual rate that requires Rhyolite to pay all the interest as well as the principal on October 31, 2022. Assuming the November 1 transaction was properly recorded, how would the December 31, 2021, year-end adjusting entry affect the accounting equation? Liabilities decrease and stockholders' equity increases. Liabilities increase and stockholders' equity decreases. Both assets and stockholders' equity increase. Liabilities increase and stockholders' equity increases