Recording an adjusting journal entry to recognize depreciation would cause which of the following? A. An increase in liabilities and expenses, and a decrease in shareholders' equity. B. A decrease in assets, and an increase in expenses. C. A decrease in assets, an increase in liabilities, and an increase in expenses. D. An increase in assets and a decrease in expenses.

Recording an adjusting journal entry to recognize depreciation would cause which of the following? A. An increase in liabilities and expenses, and a decrease in shareholders' equity. B. A decrease in assets, and an increase in expenses. C. A decrease in assets, an increase in liabilities, and an increase in expenses. D. An increase in assets and a decrease in expenses