The answer is C but can you explain to me why that is the answer. I'm still a little confused. Thank you!

21) Yowell Company granted a sales discount of $360 to a customer when it collected the amount due on account. Yowell uses the perpetual inventory system. Which of the following answers reflects the effects on the financial statements of only the discount? Assets (360) NA (360) NA = = = = = Liab. NA (360) NA (360) + Equity + (360) + 360 + (360) + 360 Rev. - Exp. = Net Inc. Cash Flow (360) - NA = (360) (360) OA 360 - NA = 360 NA (360) - NA = (360) NA 360 - NA = 360 NA Version A6