A Company Purchased a Truck for $800 on Credit

Multiple Choice

A company purchased a truck for $800 on credit.The journal entry to record this transaction,however,was a debit to 'Truck' for $500 and a credit to 'Account Payable' for $500.What will the effect be on the trial balance?

A) Debits will be $300 less than credits.
B) Debits will be $300 more than credits.
C) The trial balance will still balance.
D) None of the above