Alta Pass Brewing Company Purchased Additional Equipment for $120,000

Multiple Choice

Alta Pass Brewing Company purchased additional equipment for $120,000. Alta Pass paid $25,000 in cash and signed a note for the balance. Alta Pass debited Equipment, credited Cash and

A) nothing further must be done.
B) debited the Capital account for $120,000.
C) credited another asset account for $95,000.
D) credited a liability account for $95,000.