What is the effect of the following transaction on the basic accounting equation? Paid utility costs of $800 for utility usage to date. 1) Assets increase, assets decrease. 2) Liabilities decrease, owners' equity increases. 3) Assets decrease, liabilities decrease. 4) Assets increase, liabilities increase. 5) Assets increase, owners' equity increases. 6) Liabilities increase, owners' equity decreases. 7) No entry, no effect. 8) Assets decrease, owners' equity decreases.